Wednesday, December 28, 2011

Adding another chart to a Beckworth analysis

What really caused the crisis he asks.  So,  according to Beckworth, Ben failed to apply the monetary juice just when oil was hitting $140.   How do we know it was an oil shortage? Nominal and real prices converged, on a particular week, oil became very short.  Likely some economy went home without their allotment of oil that week.

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