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Societies for the History of Economics

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Subject:
Re: SHOE: QUERY--Inflation targets and asset prices
From:
Robin Neill <[log in to unmask]>
Reply To:
Societies for the History of Economics <[log in to unmask]>
Date:
Fri, 6 Mar 2009 09:38:25 -0500
Content-Type:
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A rise in the price of financial assets is a fall in the price of money,
so is a rise in the price of assets inflation or deflation?  Or is it that
the rate of interest is not a price (as Schumpeter pointed out),
and therefore the price of assets cannot be an element in either
inflation or deflation of the general level of prices?

Robin Neill