What do a famous broken bridge and Jimi Hendrix have in common with monetary effects on consumer prices? Short answer: a dynamic system & positive feedback.
Monetary Metals CEO Keith Weiner recently presented at the Austrian Economics Research Conference 2021, discussing his upcoming paper, "The Theory of Interest and Prices", which focuses on the monetary effects on consumer prices.
In this video, Weiner reveals why the interest rate is the most important price in our economy. He also explains the fundamental confusion between monetary & non-monetary effects on consumer prices, and the pathological, alternating cycle of prices, interest rate, and borrowing throughout the last 74 years.
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