16 Dec 2010

O’Driscoll Blames Greenspan

Federal Reserve, Financial Economics 2 Comments

The awestruck von Pepe sends this podcast with Gerald O’Driscoll. His point about interest rates in the 19th century in Great Britain is very interesting, but I imagine a Scott Sumner would say that’s as irrelevant as looking at the rental rate of labor back then to assess whether today’s rates are too high or low.

2 Responses to “O’Driscoll Blames Greenspan”

  1. A. says:

    Speaking of Sumner, have you ever thought of debating him on monetary policy/business cycle theory? Not only is it much more likely to happen than the Krugman debate, it would be more productive (albeit less famous) — I don’t think you’d just be talking past each other

  2. RG says:

    Loved the part about ignoring history – it’s hard to maintain votes when you’re constrained by monetary stability. But, doesn’t he sound a little too grandiose and pompous? He speaks like he’s the first to recognize ABCT after Hayek and he’s now carrying the torch (my paper, my theory, etc.).

    Plus, he doesn’t consider the interest rate a price so I don’t think he quite gets it.