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ACCOMMODATING CHANGES IN TFIE RELATIVE DEMAND FOR CURRENCY:FREE BANKING VS. CENTRAL BANKING
TFIE RELATIVE DEMAND CENTRAL BANKING FREE BANKING
2008/12/4
What is commonly called “money” can be held in either of two
forms. There are deposits, from which payments can be made by
check, and currency or hand-to-hand money. Even though the total
demand fo...
For nearly a decade, I have argued that the Federal Reserve should
maintain a target path of total demand in the American economy.1
The best measure of total demand, I suggest, is what the Departmen...
It should now be clear that the Federal Reserve caused, or at least
accommodated, the bubble in aggregate nominal demand from early
1998 through early 2000. Moreover, the Federal Reserve chose to
w...