Ep. 96: Money Illusion - What it is and Why it Matters

Cents and Sensibility: the Inflation Guy Podcast

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3M ago 25:22

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"Money Illusion" sounds like the sort of thing your economics teacher droned on and on about, causing you to yearn for a nice nap during class. But is it a real thing? And if it is...why does it matter?

In this episode, the Inflation Guy explains money illusion, presenting some of the evidence that it is (at least some of the time) a real phenomenon. He uses current observations where you can see money illusion at work, and then explains why it is very important that policymakers understand how important money illusion is, and over what time scales.

NOTES

Article: Fox News New Hampshire Voter Analysis Poll

Article: AP Poll from October

Blog Post: Shortages Are Unmeasured Inflation

Blog Post: Inflation Sherpa

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