🔥The 9th Round of Easy Loan, Earn $40 Reward is in progress❗️ ⏰ Promotion Period: January 15th - Feburary 15th, 2025 👉 Register now and check more details at gate.io/campaigns/358

Crisis Cycle: Challenges, Evolution, and Future of the Euro is available for preorder, and out June 17! Blog post overview grumpy-economist.com/p/crisis-cycle Book at Princeton University Press press.princeton.edu/books/hardcove…

A new strategy to fight inflation. WSJ oped, now posted (director's cut) at Grumpy Economist grumpy-economist.com/p/a-new-strate…

This week in PS Say More, we ask John Cochrane what must be done to strengthen the euro, and whether the ambition of establishing the currency as a credible alternative to the dollar should play a role in guiding these efforts. Sign up for our Friday newsletter now so you

A generalization of the Lucas Phillips curve produces inflation that grows after a shock. This specification starts to bridge the chasm between standard models and common beliefs, from John Cochrane nber.org/papers/w33888

💥 New: How the euro can break from its crisis cycle ✍️ John Cochrane, Luis Garicano 🇪🇺🇺🇦 & Klaus Masuch Princeton University Press blogs.lse.ac.uk/europpblog/202…

Crisis Cycle: Challenges, Evolution, and the Future of the Euro, by John Cochrane, Luis Garicano 🇪🇺🇺🇦, and Klaus Masuch, just landed in my mailbox by courtesy of Princeton University Press! I wrote one of the blurbs on the back after reading an advance copy, but let me restate the core

The narrative linking Japan’s stagnation since 1991 to its financial crisis is largely a myth, more recently discussed in this episode of Dwarkesh Podcast. Japan’s growth performance is almost entirely explained by poor demographics. See Table 1 of my paper with Gustavo Ventura

And it’s out! Our book hits the shelves today. To celebrate, here’s a podcast with John, Klaus, and me on what’s broken in the euro—and how to fix it. Have a listen, and if you enjoy it, you know what to do.

A thoughtful interview on "Crisis Cycle" with Luis Garicano and Klaus Masuch by Tim Jones

Interest on reserves. Why eliminating it by Congressional fiat is not a great idea grumpy-economist.com/p/interest-on-…

I like abundant reserves, but backed by short term treasurys not long term. Otherwise, where is the disaster? Does banks holding a money market fund of government debt rather than directly matter?

That is a good point. My comment was only economics not politics. If the Treasury would issue fixed value floating rate debt, the Fed would not have to be so big. And we could stop pretending that the left pocket has any thing that the right pocket does not have.

That's the point. Except that only banks can access reserves, while anyone can buy Treasury debt. And it eliminates the whole charade that the Treasury issues long debt, Fed buys it and issues short debt, and we pretend they are economically separate.

A mediation on central bank independence. grumpy-economist.com/p/central-bank…

Stop Saying We Need to “Pay for the Tax Cuts.” We Need to Pay for the Spending theunseenandtheunsaid.com/p/stop-saying-…

Stigler and Friedman's classic l starts with evidence. They describe San Francisco after the earthquake. No rent control, 40% housing destroyed, lots of housing for rent. They compare to New York post WWII with rent control. Who's "we?" Yes, theory summarizes experience.

I recently wrote about the ridiculous consequences that industrial policy has on the cruise ship industry. Take a look InsideSources R Street Institute

How does a promising young scholar go from dreams of designing glider planes to the study of physics, and then on to a celebrated career as one of the world's foremost monetary economists? In a "solo" installment of GoodFellows moderated by @BillWhalenCA, John Cochrane—Hoover's