World Hasn’t Admitted Inflation Gone Out of System: Desai

The video discusses the current state of inflation, noting that it has largely disappeared from the system, leading to a period of low growth. Central bankers are attempting to increase inflation, which is seen as unusual. The concept of super core inflation is introduced, which measures price changes related to economic slack. The discussion shifts to potential solutions for economic growth, including direct fiscal stimulus and helicopter money, as traditional monetary policy has become ineffective.

What is the current challenge faced by central bankers according to the discussion?

• They are trying to decrease inflation.

• They are trying to increase inflation.

• They are trying to eliminate inflation.

• They are trying to stabilize inflation.

What does the concept of super core inflation aim to capture?

• Changes in the price of goods related to economic slack.

• Changes in the price of imported goods.

• Changes in the price of digital goods.

• Changes in the price of luxury goods.

How has the technological revolution affected the prices of goods?

• It has stabilized the prices of goods.

• It has increased the prices of all goods.

• It has had no effect on the prices of goods.

• It has caused the prices of goods to fall.

What is the proposed solution to directly boost the economy?

• Increasing interest rates.

• Implementing helicopter money.

• Reducing government spending.

• Increasing taxes.

What is the critique of the current monetary policy?

• It is too innovative.

• It is too aggressive.

• It is no longer productive.

• It is too lenient.