peckerhead institute conference sum up

credit policy for decades has  focused on one track
 inflation effects of credit on  product prices and one policy
the inter bank interest rate

in fact  this amounted to only  wage rate control
 
ie  wage inflation was THE inflation
not the n inflations ie price level changes
in paper assets
 land
commodities
and yes industrial products and services etc

blanchard in his chat
essentially grasps the depth and detail of  any real control management of the credit system
many targets many instruments

something very real but questionable given FIRE sector interests
the FIRE brigade struck a tacit deal with the rest of the corporate community
we'll control  your wages and provide the financial bridges to the entire planet
  if you let us run amok
hence
the cyclops theory and
  bubble up  practice

keep
wage level change as target
and the bank's own inter-rate as steerage
ie
 de facto laissez allez to the entire FIRE sector

 

..

stig  mumble bumbles with the usual gems

sum up in paine think

sometime in the dark 70's
we had a shift in cognative capture

after 30 years  or more of chicago school  capture
of  mass taught and assumed micro

those sterile notions were used to capture
macro by the fire sector interests
ie destroy the keynesian reformation
yup
by re  founding macro on utterly wonderland  chamber of commerce micro
and this just when guys like stig akerloff and spence
were in the process of liberating cutting edge micro
from years of academic stagnation
-- the samuelson-arrow era ---

irony hey???

i love stigs line

we founded macro on the wrong micro