Bad Ideas Die Hard

Forbes, Steve
November 2006
Forbes Asia;11/13/2006, Vol. 2 Issue 19, p15
The author discusses the position of economics professor Edmund S. Phelps on the lack of tradeoff between inflation and unemployment. He argues that U.S. Federal Reserve governors are still influenced by the Phillips curve which supported the tradeoff between inflation and prosperity. Leaders tried to manipulate the value of money to create prosperity but ended up creating less growth and more instability. The Federal Reserve should not change the value of the dollar.


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