Difference between cost-push and demand-pull inflation

Reference no: EM133597430

Questions:

1. What is the difference between cost-push and demand-pull inflation? How is demand-pull closely related to our economy's speed limit? What sets that speed limit?

2. What is the the dual-mandate and how does the FED's acceptance of NAIRU shape its approach? Why does Kelton find this so problematic?

3. Why does Kelton say we are asking too much of central banks?

4. What does MMT consider functional finance an improvement over sound finance? Why does Kelton insist that even functional finance will need to be supplemented with a policy like a Jobs Guarantee (JG)?

5. What does Kelton mean when she says MMT is replacing an artificial constraint with a real constraint? What would this sort of shift require policy makers to do differently?

Reference no: EM133597430

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