Mankiw: It’s Time to Bring on InflationBy NegativeConvexity • Apr 19th, 2009 • Category: Top Links
It may be a sign of the apocalypse, but Prof. Mankiw is agreeing with Prof. Krugman. In a brilliant article in the NYT, Mankiw illustrates the need and intellectual justification for negative real interest rates.
As the Depression validated Keynes’ inventive thinking, perhaps the seemingly outlandish proposals Mankiw floats will one day be heralded as genius.
A must read. Available here.