Talk:Inflation
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Note: A bit of older history of this page can be found in the history of Inflation (economics). The page has been on that title for quite some time; this page now has the history of that page, and vice versa. Andre Engels 20:03 27 May 2003 (UTC)
Why is this page full of Keynesian nonsense? The version before "172"'s "NPOV" fixup was more accurate. Does "neutral" (in NPOV) mean that objective facts can be ignored in favour of not disagreeing with counterfactual religious beliefs, or does reality actually count for something? 218.101.88.104 05:10, 5 May 2004 (UTC)
I am trying to take your allegation seriously, but it is too general to take action on. I looked at the contribution made by "172" last summer and find most of it positive. He gave the article an introductory definition when previously it had just been a cause of inflation masquerading as a definition. Yes, some of his contributions show a Keynsian perspective, one or two points may even be contraversial, but I see nothing that is nonsense. mydogategodshat 16:22, 7 May 2004 (UTC)
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I added the quantity theory of money
I put in the Quantity Theory of Money. Hopefully this would counterbalance some of the Keynesian stuff.
Mydog: I find these statements rather highly controversial: " However, this cost may be "worth it" if it avoids a serious recession, which can have even greater costs.
In fact, controls may complement a recession as a way to fight inflation: the controls make the recession more efficient as a way to fight inflation (reducing the need to increase unemployment), while the recession prevents the kinds of distortions that controls cause when demand is high."
The author of these statements admits that most economists denounce price controls and then goes on to say that they could be "worth it"?? This is non-neutral speculation. Furthermore, I believe his statement that price controls help fight inflation is highly speculative as well. --Dissipate 07:59, 22 Jun 2004 (UTC)
Controlling Prices
In dealing with inflation there is only one price that should be regulated. And that is the price of money (not the price of credit).
Interest rates are the price of credit. If you want credit then interest is the cost you must bear. The price of money is the amount of stuff you must exchange for a given quantity of money. If you want money then stuff is the cost you must bear.
The price of money is determined by both the supply of money and the demand for money. Hence their was significant inflation during the black death of the middle ages in Europe even though the stock of money (gold coin) was basically fixed. During this period the demand for money dropped significantly as the population and the economy contracted. Moneys value plummeted briefly.
Regulating the price of credit through interest rate policy is just good old fashion centralised command economy thinking. Instead the price of money should be benchmarked against gold or a commodity index and regulated using [open market operations] or better still self-regulated in a system of free banking.
There mistake of the 1980s was thinking that the size of the money supply should be regulated. Its the value of money thats most important not the quantity.
The current mistake is in thinking that a government appointed guru should be given god like market power in order to control the price of credit.
TERJE 22-JUNE-2004
11:07, 22 Jun 2004 (UTC)11:07, 22 Jun 2004 (UTC)
Short for
Should the article be called "Price inflation"? My understanding is that this is what the common use of the term is short for. The current title could then go to the existing disambiguation page.
As it is now, the intro paragraph begins "In economics, inflation is a fall..." which seems counterintuitive and does nothing to explain the reason why the term is used. I will insert the word "price", which seems to clarify as well as provide a more useful contrast with the alternate usage and the 1920s US example in the second paragraph.
toh 23:39, 2004 Oct 17 (UTC)
Inflation Poetry
Just had a poetry attack while reading this article -- it's extremely lame and I'm very ashamed of myself, but couldn't help it:
"Why is there ever inflation?"
Is always the common man's question,
When we all know that the nation
Builds goods in excess of consumption!
--Gutza 23:53, 5 Nov 2004 (UTC)
POV
Inflation - the mechanics of inflation: the great government swindle and how it works (http://www.abelard.org/inflation.htm) A detailed analysis of the mechanics of the great modern government swindle known as inflation.
- Yes we know it's stupid and a "joke". But I think it should be there.--Jerryseinfeld 12:08, 30 Dec 2004 (UTC)
We are under an obligation to provide credible sources first. This one isn't credible. Stirling Newberry 19:24, 30 Dec 2004 (UTC)