Milton Friedman wasn't a Keynesian, and yet he advocated monetarism, which is essentially the same as inflation targeting, except instead of keeping inflation c

Milton Friedman wasn't a Keynesian, and yet he advocated monetarism, which is essentially the same as inflation targeting, except instead of keeping inflation constant, you keep the rate of increase of the money supply constant. In academic economics, even Keynes never advocated permanently distorting the economy towards consumption and away from spending. Of course people who like government spending for other reasons will incorrectly cite Keynes to justify their position. Real interest rates determine the saving vs consumption decision, not inflation. See here for the arguments that real economists use to justify a 2% inflation rate http://econfan.blogspot.com/2011/07/why-target-inflation-at-2-and-what.html http://econfan.blogspot.com/2011/07/why-target-inflation-at-...