Quantity Of Money Quotes

Inflation is always and everywhere a monetary phenomenon in the sense that it is and can be produced only by a more rapid increase in the quantity of money than in output.

The Depression, which started in 1929 was rather mild from 1929 to 1930. And, indeed, in my opinion would have been over in 1931 at the latest had it not been that the Federal Reserve followed a policy which led to bank failures, widespread bank failures, and led to a reduction in the quantity of money.

I think there is universal agreement within the economics profession that the decline - the sharp decline in the quantity of money played a very major role in producing the Great Depression.

No central banker would disagree with the proposition that inflation is primarily a monetary phenomenon. Not one of them will disagree that every inflation has been accompanied by a rapid increase in the quantity of money and every deflation by a decline in the quantity of money.

Inflation is an increase in the quantity of money without a corresponding increase in the demand for money, i.e., for cash holdings.

If you've taken Econ 101, you know that the quantity of money rises only when the banking system makes a net loan.

Rapid increases in the quantity of money produce inflation. Sharp decreases produce depression.

The use of quantity of money as a target has not been a success. I'm not sure that I would as of today push it as hard as I once did.