The rationale of the program was to squeeze the built-in inflationary pressure out of the economy so that producers would begin making sensible decisions about production, pricing and investment instead of chronically overusing resources — a problem that resulted in shortages of consumer goods in the Soviet Union in the 1980s.

This demand for higher nominal interest rates and increased spending in the present, in turn, create inflationary pressure and can cause inflation even if the expectations of future inflation are unfounded.

Under inflationary pressure in 1979, the Fed temporarily abandoned interest rate targeting in favor of targeting non-borrowed reserves.

That is, the rule " recommends " a relatively high interest rate ( a " tight " monetary policy ) when inflation is above its target or when output is above its full-employment level, in order to reduce inflationary pressure.

But the Vietnam War was putting significant inflationary pressure on construction wages.

The inflationary hypothesis was originally proposed in 1980 by American physicist Alan Guth, who named it " inflation ".

Monetarists argue that there was no inflationary investment boom in the 1920s.

Since the US Federal Reserve was formed in 1913, however, the US dollar has fallen to barely a twentieth of its former value through the consistently inflationary policies of the bank.

He then details the inflationary policies of the Federal Reserve from 1921 to 1929 as evidence that the depression was essentially caused not by speculation, but by government and central bank interference in the market.

Since the company was begun during the Civil War, in an inflationary economy, when car prices tripled and quadrupled, it is possible the abrupt return to “ normal ” in 1865 may have seemed like a depression to the budding company.

Some growth was due to good management, some to inflationary re-investment, and some via legislative decisions to deposit extra income during boom years.

This in turn suggested that the short-run period was so short that it was non-existent: any effort to reduce unemployment below the NAIRU, for example, would immediately cause inflationary expectations to rise and thus imply that the policy would fail.

Similarly, built-in inflation is not simply a matter of subjective " inflationary expectations " but also reflects the fact that high inflation can gather momentum and continue beyond the time when it was started, due to the objective price / wage spiral.

A factor in the recovery from the worst periods of 1982-83 was the radical drop in oil prices due to increased production levels of the mid 1980s, which ended inflationary pressures on fuel prices.

Hoover thought it might have helped " Mexico, India, China and South America ", but Laval dismissed the silver solution as an inflationary proposition adding that " it was cheaper to inflate paper.

* infusion of federal funds into the health care system was contributing to inflationary health care costs while failing to produce an adequate supply or distribution of health resources

President John F. Kennedy was more successful in 1962 when he pressured the steel industry into reversing price increases that Kennedy considered dangerously inflationary.

In much of the region, the landed nobility was poorer than the urban patriarchs in the High Medieval money economy whose inflationary rise left land-holding aristocrats impoverished.

In the mid to late 1970s, opinion within the bank was moving toward breaking the link with sterling and devaluing the Irish currency in order to limit inflationary effects from abroad.

In standard inflation, inflationary expansion occurred while the Universe was in a false vacuum state, halting when the Universe decayed to a true vacuum state.

Morrill's tenor in office there was debate over currency being redeemed by gold rather than issuing inflationary greenback paper currency.

As the debt pile grew, it became increasingly obvious the government's structural budget deficit was simply not compatible with a low inflation fixed exchange rate – either the government had to start earning as much as it spent, or it had to start ( inflationary ) printing of money ( and thus abandoning the fixed exchange rate as it would not be able to borrow the needed amounts of US dollars to keep the exchange rate stable ).

If correct, inflation solves the horizon problem by suggesting that prior to the inflationary period the entire universe was causally connected, and it was during this period that the physical properties evened out.

A cornerstone of his political and economic strategy was the implementation by dictat of an agrarian reform program to expropriate farms and diversify land ownership, much of which had been concentrated in Haciendas ' owned by a small percentage of the population who previously had acted like feudal lords and paid starvation wages to the surrounding campesinos who worked on the haciendas ; these owners who opposed his program claimed that the expropriation was more akin to confiscation, as they were paid in non-tradable bonds that would eventually become worthless by the government's inflationary policies.

The government ran deeper into debt and was forced to devalue the currency and ran inflationary policies.

Quantum fluctuations in the microscopic inflationary region, magnified to cosmic size, become the seeds for the growth of structure in the universe ( see galaxy formation and evolution and structure formation ).

In 1999, John Earman and Jesús Mosterín published a thorough critical review of inflationary cosmology, concluding that “ we do not think that there are, as yet, good grounds for admitting any of the models of inflation into the standard core of cosmology ”.

The result is that paper money would often lead to an inflationary bubble, which could collapse if people began demanding hard money, causing the demand for paper notes to fall to zero.

Supersymmetric GUTs seem plausible not only for their theoretical " beauty ", but because they naturally produce large quantities of dark matter, and because the inflationary force may be related to GUT physics ( although it does not seem to form an inevitable part of the theory ).

Given the task of arresting dishonest businessmen who hoarded supplies for profit during the inflationary spiral, he attempted to assuage the business community by explaining that his team would only go after big war profiteers.

Nonetheless, New Keynesian economists do not advocate using expansive monetary policy for short run gains in output and employment, as it would raise inflationary expectations and thus store up problems for the future.

Those decisions coupled with inflationary growth in use of computers provided the market for the expansion of National.

But if unemployment stays low and inflation stays high for a long time, as in the late 1960s in the U. S., both inflationary expectations and the price / wage spiral accelerate.

But if unemployment stays high and inflation stays low for a long time, as in the early 1980s in the U. S., both inflationary expectations and the price / wage spiral slow.

A much more simplistic method to ultimately achieve negative interest rate and provide disincentive to holding cash would be for governments to encourage inflationary monetary policy.

These large institutional investors need to protect the long-term value of their investments from inflationary debasement of currency and market fluctuations, and provide recurrent cash flows to pay for retiree benefits in the short-medium term: from that perspective, think-tanks such as the World Pensions Council ( WPC ) have argued that infrastructure is an ideal asset class that provides tangible advantages such as long duration ( facilitating cash flow matching with long-term liabilities ), protection against inflation and statistical diversification ( low correlation with ‘ traditional ’ listed assets such as equity and fixed income investments ), thus reducing overall portfolio volatility.

which corresponds to the scale of an estimated Poincaré recurrence time for the quantum state of a hypothetical box containing a black hole with the estimated mass of the entire universe, observable or not, assuming a certain inflationary model with an inflaton whose mass is 10 < sup >− 6 </ sup > Planck masses.

This lead the Chicago Weekly Tribune to state that the movement offered, “ an opportunity to accomplish something for the country at large — not for the farmers merely, but for all who live by their industry, as distinguished from those who live by politics, speculations and class-legislation .” Frustrated by their inability to get Democrats or Republicans to adopt inflationary monetary policy southern and western leaders of monetary reform meet in Indianapolis and proposed the creation of a new political party for currency reform.

This provided the theoretical basis for the belief that large fiscal deficits would not necessarily be inflationary.

When a party calling itself Conservative can think of nothing better than to outbid the Government's election promises ; when it demands economy in one breath and increased spending in the next ; when it proposes an immediate tax cut regardless of inflationary results ... when in short, the Conservative party no longer gives us a conservative alternative after twenty-one years ... then our political system desperately requires an opposition prepared to stand for something more than the improbable chance of quick victory.

The real bills doctrine holds that issuing money in exchange for real bills is not inflationary.

Though it would take time for investments in social overhead capital to yield returns, the demand would increase immediately, thus imposing inflationary pressures on the economy.