Specifically, krugman believes that inflation is required to confuse laborers to stay in their jobs and not take pay cuts (sorry, can't find ref), which creates labor stability.
so yes, it is about economists. interest rate policy is crafted around this principle and designed to screw the have nots (it is not only krugman, it is encoded in the fed's dual mandate). since every country has a central bank with a similar mandate its hard to know if gettimg screwed is inherent in captalism or if it's only a feature of central bank capitalism.
It's maybe telling that the nordic central banks have the lowest interest rates in general
> The gap between haves and have nots is more related to politics than economics IMO
in human history there have been few societies that haven't had a widening gap; gaps typically have contracted during times of revolution. no social democracy in the current epoch doesn't feature a widening gap, so i would doubt that active redistribution helps all that much (inflation is a compounding effect that overtakes all redistribution)
borgdefenser|1 year ago
If all the banks failed we would certainly have a more equal society in 2025.
It is really hard to say though if spending my 30s and 40s largely in a depression would have been worth it just from a personal standpoint.
Imagine instead of the boom of 2010s we had a depression.
Rather intellectually dishonest for a technologist to complain about this really.
throwawaymaths|1 year ago
so yes, it is about economists. interest rate policy is crafted around this principle and designed to screw the have nots (it is not only krugman, it is encoded in the fed's dual mandate). since every country has a central bank with a similar mandate its hard to know if gettimg screwed is inherent in captalism or if it's only a feature of central bank capitalism.
It's maybe telling that the nordic central banks have the lowest interest rates in general
> The gap between haves and have nots is more related to politics than economics IMO
in human history there have been few societies that haven't had a widening gap; gaps typically have contracted during times of revolution. no social democracy in the current epoch doesn't feature a widening gap, so i would doubt that active redistribution helps all that much (inflation is a compounding effect that overtakes all redistribution)
throwawaymaths|1 year ago
https://archive.nytimes.com/krugman.blogs.nytimes.com/2010/0...