Strictly Business on KSVY
What We’ll talk about: 1) Why write the book now? 2) What have been, or should have been, the obvious economic lessons from inflationary periods post WW I, post WW II and OPEC oil crisis in the 1970s?, 3) Why 40 years of ‘manageable’ inflation?, 4) 2008 - deflation - aggregate demand shock, liquidity trap, interest rates lowered to 0 - still trouble reviving demand = colossal economic aberration brought on by loosening of credit requirements and reckless use of leverage?, 5) Current structure of U.S. economy = more services than goods, oil = less consequential component in inflation measurement - was COVID an inflationary aberration?, 6) CPI or PCE - vague concept to or real ‘feeling’ for consumers? 7) Role of scarcity in supply induced inflation?, 8) Role of credit in demand-induced inflation? (Total household debt = $18.8 trillion at the end of 2025 per FRB), 9) Is debt burden pricing out the next generation from asset ownership/investment - price of credit vs. wage gains?, alternatives?, 10) Can/should shifts in debt-financed consumer demand be better anticipated?, 11) Should changes in pricing be resisted (eggs, coffee, gas, copper)?, how?, 12) Is inflation an event-driven phenomenon (wars, oil, virus - supply shock or demand shock)?, 13) Consumer response to inflation - rational expectations in line with behavioral economics?, 14) How interest rate adjustments affect demand?, 15) Most competent/effective Federal Reserve chairmen/chairwomen?, why?, 16) What are the first signs of oncoming inflation?, 17) Shrinkflation - reflection of cost pressures on producers or profit maximization strategy?, 18) Effect of protectionism on prices and demand?, 19) Political influence on the central bank - risks?, 20) Effects of technological advancement or disruption on inflation - impact of AI on unemployment and inflation prospects?, 21) Effects of competition on inflation?, 22) Can citizens, consumers insulate themselves from inflation and its consequences?, 23) other issues you might wish to discuss Guest URL: http://www.econ.berkeley.edu/~olney
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