The Chicken, the Price of Eggs and the Chairman of the Fed: Using Monetary Policy to Curb Inflation

The prices of consumer products have gone up, some more so than others, because of issues in their respective submarkets.  In a world of microeconomics, national, indiscriminate, macroeconomic monetary policy is a gross instrument with limited power.  It’s the dumb bomb when what we need are precisely targeted policies capable of dealing delicately, but nonetheless effectively with highly variable, complex market relationships with minimum side effects.

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