Famous quotes with Quantity theory of money

• I don't know what monetarism is. If monetarism just means a good old-fashioned quantity theory, of course it has not failed. If it means the particular version of Milton Friedman, I think it has because he imagines that he can achieve — ascertain — a clear quantity relationship between a measurable quantity of money and the price level. I don't think that is possible. In fact, just about 40 years ago in the opening sentences of my book, Prices and Production, I wrote that it would be a great misfortune if people ever cease to believe in the quantity theory of money. It would be even worse ever to believe it literally. And that's exactly what Milton Friedman does.

  Milton Friedman
• As far as Friedman's arguments are concerned, I always thought that he sang two tunes. In the economic profession, he was absolutely reasonable. I could find no distinction between his modern quantity theory of money and eclectic Keynesian economics. But in writing for , he argued a hard monetarism, as against the soft monetarism of the "modern quantity theory." In hard monetarism, velocity is constant and but the money supply matters for nominal GNP. I thought that was just factually wrong.

  Milton Friedman
• It is with considerable reluctance that I criticize the monetarists, because, though I consider their proposed monetary policy unfeasible, they are after all much more nearly right in their assumptions and prescriptions than the majority of present academic economists.  The simplistic form of the quantity theory of money that they hold is not tenable; but they are overwhelmingly right in insisting on how much "money matters," and they are right in insisting that in most circumstances, and over the long run, it is the quantity of money that is most influential in determining the purchasing power of the monetary unit.  Other things being equal, the more dollars that are issued, the smaller becomes the value of each individual dollar.  So at the moment the monetarists are more effective opponents of further inflation than the great bulk of politicians and even putative economists who still fail to recognize this basic truth.

  Henry Hazlitt

The antonyms for the term "Middle Class Populations" are "extreme poverty populations" and "wealthy high-class populations." Extreme poverty populations refer to people who suffer ...