A helicopter drop of money is a permanent /irreversible increase in the nominal stock of fiat base money with a zero nominal interest rate, which respects the intertemporal budget constraint of the consolidated Central Bank and fiscal aut hority/Treasury – henceforth the State. An example would be a temporary fiscal stimulus (say a one – off transfer payment to households, as in Friedman’s example), funded permanently through an increase in the stock of base money. It could also be a permanen t increase in the stock of base money through an irreversible open market purchase by the Central Bank of non -monetary sovereign debt held by the public – that is, QE . The reason is that QE, viewed as an irreversible or permanent purchase of non- monetary f inancial assets by the Central Bank funded through an irreversible or permanent increase in the stock of base money, relaxes the intertemporal budget constraint of the State.
Blogs I Follow
- Are you joking here New York Times? So what if it is James Heckman… the sample size is 37!
- Trump’s “America First” rhetoric? William Wyler had it pegged back in 1946.
- For everyone who served on a committee that had to write a report
- Maybe you studied abroad in Spain? Then you should watch El fin de ETA!
- Economic justice and basic income
- Activité à la bibliothèque de Kaya
- Une délégation de FAVL chez le Dima de Boussouma
- Les femmes mentors de Barsalogho II visitent la bibliothèque de Barsalogho
- Visite de la Coordinatrice régionale de CRS/Afrique de l'Ouest à la bibliothèque de Boussouma
- Sortie de supervision à la bibliothèque de Sebba
- Deuxième discussion du club de lecture à Bantogdo
- Don de livres en langues nationales
- Des journaux planètes enfants et planètes j'aime lire dans les bibliothèques de FAVL-BBII
- Don de livres à la bibliothèque communautaire de Zimtanga
- Books delivered to three Ghana libraries
- Camp de lecture à l'école Silmiyiri de Ouagadougou
- Great article about one of the FAVL donors who helped make a library happen in Burkina Faso
- AYA Afrika Foundation helps continue after school reading program in libraries in Ghana
- New motor bike for FAVL/CESRUD Ghana
- Visite guidée à la bibliothèque communautaire de Dablo