4 ms·

Yeah, it isn't that mainstream though. I like his take on this and largely agree with him.

• kranke155 3y ago
  Is the mainstream consensus on important matters actually correct most of the time or all of the time? Or is it actually wrong, misleading and/or imprecise at least some of the time ?
  • Quarrel 3y ago
    Particularly on this issue, I think the mainstream consensus is what Central banks are doing in response to inflation. Are they wrong at least some of the time? Hell yeah.
    • kranke155 3y ago
      Stiglitz main points of his talk is he believes the central banks are mostly wrong. He says they will succeed in taming inflation only by slowing down the economy / destroying economic activity (one way of doing it?) he suggests that there are far better avenues of action to pursue but the consensus is so strong on “let’s do what worked before” (Volcker) that they are doing things that are sometimes even counter to their anti-inflation goals in some markets. I believe (from memory) he says particularly in housing he believes the current policy will lead nowhere since increased interest rates disincentivise construction.