Daily Archives: March 15, 2012

Defending Milton Friedman’s Monetary Policy Prescriptions (Again)

Paul Krugman notes that Amity Shlaes has misinterpreted Milton Friedman’s legacy on monetary matters, as I did earlier this month. But then he loses me when he claims “that this time the Fed did all that Friedman denounced it for not doing in the 1930s. The fact that this wasn’t enough amounts to a refutation of Friedman’s claim that adequate Fed action could have prevented the Depression.” Huh?

Continue reading