tag:blogger.com,1999:blog-3758330678390419129.post185759949166433901..comments2024-02-13T02:39:22.756-05:00Comments on EconomicPolicyJournal.com: Negative Interest Rates Are Forcing German Banks To Hoard So Much Cash They're Running Out Of SpaceRobert Wenzelhttp://www.blogger.com/profile/14296920597416905488noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-3758330678390419129.post-29426024927808366922020-02-05T17:02:10.692-05:002020-02-05T17:02:10.692-05:00Rothbard discussed the absurdity of this identity ...Rothbard discussed the absurdity of this identity in chapter 11 of "Man, Economy, and State." V cannot be defined independently of the other variables, and P and Q are meaningless (undefinable). This identity tells us nothing meaningful about economics.The NAPsterhttps://www.blogger.com/profile/16631781625841157567noreply@blogger.comtag:blogger.com,1999:blog-3758330678390419129.post-50271918071734321382020-02-02T15:39:48.356-05:002020-02-02T15:39:48.356-05:00Hoarding doesn't reduce the money supply.
MV...Hoarding doesn't reduce the money supply. <br /><br />MV=PQ<br /><br />If V falls (hoarding), M doesn't change. Austro-Punkhttps://www.blogger.com/profile/15170272148725680161noreply@blogger.comtag:blogger.com,1999:blog-3758330678390419129.post-35921604699222783612020-02-01T15:58:50.107-05:002020-02-01T15:58:50.107-05:00A reduction in the money supply increases the purc...A reduction in the money supply increases the purchasing power of the remaining money, which, all else equal, would lead to price deflation, and hoarding is one way to reduce the money supply. However, the hoarding of cash could be more than offset by an increase in the money supply through bank lending. The NAPsterhttps://www.blogger.com/profile/16631781625841157567noreply@blogger.comtag:blogger.com,1999:blog-3758330678390419129.post-19338656705420374852020-02-01T12:17:34.396-05:002020-02-01T12:17:34.396-05:00Does hoarding cash create deflation, the opposite ...Does hoarding cash create deflation, the opposite of the intended result of a negative interest rate?Qhttps://www.blogger.com/profile/06412458477482087930noreply@blogger.com