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Politics : Ask Michael Burke
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To: BGR who wrote (72918)1/5/2000 4:02:00 PM
From: Freedom Fighter  Read Replies (1) of 132070
 
BGR,

I believe this is the Austrian view on the subject.

Monetary recklessness need not cause CPI inflation, but it usually does.

It can cause asset inflation without CPI because the prices of assets are excluded from CPI.

It can also cause no price inflation at all (in the conventional use of that word) due to significant productivity increases while still causing other economic imbalances.

Of course we need to keep in mind the degree of recklessness.

Wayne
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