Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: grimalkin

The article doesn’t discuss velocity of money. As in businesses and peoples hoarding cash or not spending because of the certainty that this isn’t going to end well. The only ‘Uncertainty’ is what the end will look like. Just mho.
I’m doing my part to keep prices as low as possible.


9 posted on 01/15/2014 2:59:36 PM PST by griswold3 (Post-Christian America is living on borrowed moral heritage)
[ Post Reply | Private Reply | To 1 | View Replies ]


To: griswold3
The article doesn’t discuss velocity of money.

No. The Austrian school doesn't use that term. The Austrians do consider important the effects of the demand to hold money which is implicit in the article's statements.

Wherever the new money flows, it may increase demand in the short run

If the Fed is unsuccessful in spurring demand, that is because the demand for money has increased.

14 posted on 01/15/2014 3:53:48 PM PST by BfloGuy ( Even the opponents of Socialism are dominated by socialist ideas.)
[ Post Reply | Private Reply | To 9 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson