tag:blogger.com,1999:blog-7464708.post607019458350899976..comments2024-03-22T06:05:36.544-04:00Comments on Kids Prefer Cheese: Moving the goalposts in the NDGP debate, or money illusion illusionMungowitzhttp://www.blogger.com/profile/02340064320347875601noreply@blogger.comBlogger6125tag:blogger.com,1999:blog-7464708.post-85139303741623399502012-10-01T15:49:07.764-04:002012-10-01T15:49:07.764-04:00David Glasner points out that inflation is not nor...David Glasner points out that inflation is not normally correlated with the S&P 500, but <a href="http://uneasymoney.com/2012/06/06/more-on-inflation-expectations-and-stock-prices/" rel="nofollow">recently it has been</a>.TGGPhttps://www.blogger.com/profile/11017651009634767649noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-14562711232459732972012-09-30T16:50:28.795-04:002012-09-30T16:50:28.795-04:00Vote for Peddro!Vote for Peddro!Angushttps://www.blogger.com/profile/03656436431053306500noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-24247919979892075532012-09-29T21:33:16.274-04:002012-09-29T21:33:16.274-04:00Correlation between NGDP and total private job ope...Correlation between NGDP and total private job openings (quarterly, % change over year) is 0.76. (2002 to 2012).Peddronoreply@blogger.comtag:blogger.com,1999:blog-7464708.post-19773606501128092082012-09-29T18:29:10.238-04:002012-09-29T18:29:10.238-04:00LOLZ Pedro. Good one! 8^) LOLZLOLZ Pedro. Good one! 8^) LOLZAngushttps://www.blogger.com/profile/03656436431053306500noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-40213332138998741702012-09-29T18:25:51.576-04:002012-09-29T18:25:51.576-04:00Correlation between NGDP and real non-residential ...Correlation between NGDP and real non-residential investment (growth) = 0.87.Pedronoreply@blogger.comtag:blogger.com,1999:blog-7464708.post-19207427630679541002012-09-29T10:05:23.704-04:002012-09-29T10:05:23.704-04:00Matt's model appears to assume that machines a...Matt's model appears to assume that machines are the only good in the economy. Therefore, a rise in the price level means a rise in the price of machines relative to money (so obviously you buy machines). <br />Instead, let's assume that the economy has food, oil and housing, too (which account for a decent portion of inflation). Now, if those prices rise along with the price level, then demand for goods produced by machines may actually decreases. It's even possible that the price of machines will decrease.<br />In a world with heterogeneous goods and capital, even knowing the general price level will rise, is not sufficient knowledge to know the relative price of goods. This may help explain why investment is uncorrelated with inflation.<br /><br />We may be in the minority fighting against NGDP/Market Monetarism but it's clearly a debate worth the effort. Keep up the good work! Anonymoushttps://www.blogger.com/profile/00720722626969395929noreply@blogger.com