tag:blogger.com,1999:blog-2098432983500045934.post3136752395036713560..comments2024-03-12T22:19:32.339-04:00Comments on The New Arthurian Economics: Another look at prices and outputThe Arthurianhttp://www.blogger.com/profile/16501331051089400601noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-2098432983500045934.post-31143263259078038222012-06-03T03:26:00.316-04:002012-06-03T03:26:00.316-04:00See update.
Yeah, this needs some work. But the l...See update.<br /><br />Yeah, this needs some work. But the line is definitely lower in the early years, higher later.The Arthurianhttps://www.blogger.com/profile/16501331051089400601noreply@blogger.comtag:blogger.com,1999:blog-2098432983500045934.post-20237620263930255122012-06-03T03:06:13.524-04:002012-06-03T03:06:13.524-04:00Hi Jazz. Thanks, I could certainly use more eyes o...Hi Jazz. Thanks, I could certainly use more eyes on this calculation! <br /><br />Your first link, 7G4, I've looked at many times. I suspect we both have. But I was looking for a way to see inflation as a multiple of real growth, or real growth as a multiple of inflation, and I don't see how to get that from 7G4.<br /><br />OH. By normalizing at 1953, I make those two values identical on the graph. So the closeness of the twl lines before the Volcker years is artificial (I'm thinking of the Google Docs graph from the previous post). <br /><br />But the separation is valid... The <i>change</i> from before-Volcker to after-Volcker is accurately represented. I am willing to say that inflation after Volcker was three times more than what it was before the Great Inflation, relative to real growth. And I think that is a pretty amazing claim, given all that has been said of inflation and the greatness of moderation and all...<br /><br />"The space between the lines is an artifact of index year."<br /><br />Definitely, yes.The Arthurianhttps://www.blogger.com/profile/16501331051089400601noreply@blogger.comtag:blogger.com,1999:blog-2098432983500045934.post-44602898481045540702012-06-02T21:47:23.182-04:002012-06-02T21:47:23.182-04:00To the extent that my skepticism of your normaliza...To the extent that my skepticism of your normalization is valid, this graph might be a significant distortion.<br /><br />I like this a lot better.<br /><br />http://research.stlouisfed.org/fred2/graph/?g=7G4<br /><br />Or, consider this. The space between the lines is an artifact of index year.<br /><br />http://research.stlouisfed.org/fred2/graph/?g=7G5<br /><br />Cheers!<br />JzBJazzbumpahttps://www.blogger.com/profile/07337490817307473659noreply@blogger.com