December 1, 2019

MACROECONOMIC THOUGHTS.PART 17

If as proposed in the quantity theory of money that government should keep money supply fairly steady rate per addum to ensure the natural growth of an economy,however its inadequacy is evidence given that the most influential form of money and wealth notes havent been discovered yet that guarrantee optimal economic growth for the steady progress of egalitarian era.Now instead of envisaged inflation,debtflation a positive form of inflation will propel excessive money supply and excessive debt money supply expansion respectively. The expansion of debt money supply should be achieved by targeting the growth rate of social debt and pump equivalent at least or twice the rate at which social debt capital grows or increases so as to maintain attainment of optimal economic debt price stability.Debt money supply should grow constantly tied to the nominal GAP growth andsometimes at fixed percentage.The formula for monetarism (MV=PQ)extremely differs ordinarilyto branded marsolism formula(DV=DQ)all thing being equal.

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