Jesus Fernandez-Villaverde on Demographic Trends, Recent Macroeconomic Developments, and AI’s Implications for Economic Growth
Macro Musings with David Beckworth
00:00
The Fiscal Theory of the Price Level
When I was still an undergrad, I read some unpleasant monetary sticker in the medic by Tom Sarient and Neil Wallace. And it basically says, look, at the end of the day, there is a budget constraint of the government. It's very, very difficult to come up from reading Sarient and Wallace without believing in some form of the fiscal theory of the price level. The linkages between fiscal policy and monetary policy are inherently two sides of the same phenomenon.
Transcript
Play full episode
