CERF Blog

Molly Clancy & Dan Hamilton In July we discussed the topic of Multiple-Equilibria in the United States economy. This blog is an update to that post, which can be found here. We argued there that the United States is currently in a “good-deflation” equilibrium, where consumers and producers find low price growth as helpful in… Read more

Bill Watkins and Dan Hamilton Scott Sumner maintains a blog in which he has argued that the FED should not target interest rates, but instead target nominal GDP. When the economy experiences a Liquidity Trap, as it arguably did in late 2008 and 2009, reducing the short-term target interest rate becomes ineffective as interest rates… Read more