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> and every PhD economist knows that inflation is connected to fiscal policy's influence on the monetary supply Huh? I always thought this is common knowledge.
by spacechild1 2y ago
> and every PhD economist knows that inflation is connected to fiscal policy's influence on the monetary supply
Huh? I always thought this is common knowledge.
- k2enemy 2y agoWell, for one thing, monetary policy is the primary determinant of money supply, not fiscal policy. Second, I think it is fair to say that the causes of inflation are uncertain, even among mainstream PhD economists. The quantity theory hasn't been matching empirical data, and newer theories like the fiscal theory of the price level are gaining attention.