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Inflation and Financial Systems

  • Paul Beckerman

Abstract

There is an argument that financial systems can function and develop reasonably well despite high inflation, as long as rates of return are not “repressed”—that is, as long as rates are either market-determined or set by authorities aiming roughly to equilibrate supply of and demand for financial resources. In particular, “neo-liberal” analysts argue that financial rates must be permitted to exceed the inflation rate, to stimulate saving and to allocate credit to genuinely profitable uses.1

Keywords

Interest Rate Financial Market Inflation Rate Commercial Bank Money Supply 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Paul Beckerman 1992

Authors and Affiliations

  • Paul Beckerman

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