May 2011
4 posts
Nietzsche on Beethoven and Raphael
“Who could refute a phrase by Beethoven, and who would find error in Raphael’s Madonna?”Nietzsche, in a letter to Gersdorff in August 1866. Posted via email from Quote for the day | Comment »
Andy Harless: Whats Wrong with the Taylor Rule
Andy Harless: Whats Wrong with the Taylor Rule via Brad DeLong’s Grasping Reality with Both Hands by J. Bradford DeLong on 5/14/11 AH: Employment, Interest, and Money: Fixing What’s Wrong with the Taylor Rule: I see four problems with the original Taylor rule: It’s not really a rule at all… [but] depends on an estimate of potential output… the discretion that goes into central...
Interest rates, inflation, and cargo-cult...
Brad Delong: If Stephen Williamson were to have spent any time reading, say, Milton Friedman, he might not make elementary mistakes such as this one here: Stephen Williamson: New Monetarist Economics: How to Get Worked Up Over Nothing: Suppose a cash-in-advance model with a representative consumer, period utility u(c), discount factor b, constant aggregate endowment y. c is consumption. The...
Headline Inflation and Wages
Krugman: I suspect that this article by Heleen Mees will get a lot of attention from the inflationistas, who will see in it another reason to worry. So I guess I’d better weigh in to say that the, um, core argument doesn’t seem to make any sense. Mees looks at this picture: and tells us that it shows that “Hourly wages in the US track headline inflation much more closely than core inflation.”...
