Market Monetarism and the Crash of 2008

Title

Market Monetarism and the Crash of 2008

Authors

Scott Sumner

Files

Description

By focusing on nominal GDP as an indicator of both economic conditions and a target of policy, the real problem with the financial crisis of 2008 was that policymakers misdiagnosed what was occurring. Market monetarism can help us better understand the underlying nature of the 2008 crisis, along with current issues in monetary policy.

Scott Sumner is a professor at Bentley University.

Publication Date

2-20-2014

Keywords

market monetarism, financial crisis of 2008, nominal GDP, economic conditions, monetary policy

Disciplines

Economics

Market Monetarism and the Crash of 2008
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