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Addressing supply shocks can solve some inflation, George Selgin notes

Addressing supply shocks can solve some inflation, George Selgin notes
Remedies vary for supply-shock inflation

George Selgin argues that remedies addressing adverse supply shocks can be effective if those shocks are the source of inflation.

However, Selgin cautions that such steps may not be sufficient when inflation is primarily driven by excessive spending, which he suggests is often the usual case.

Selgin has previously challenged assertions that the Social Security Administration ended the Great Depression in the U.S., raising questions about historical interpretations in a recent analysis here. In an earlier discussion, he examined how government guarantees can lead financial intermediaries to maintain lower levels of equity, highlighting regulatory impacts here. These contributions reflect his ongoing scrutiny of economic policy and regulation.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.

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