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Saturday, April 23, 2022

El-Erian: Nobody Knows What a Neutral Rate Is

 https://youtu.be/tZztbvQlFtI

*When there is competition for a currency like bitcoin/crypto: go simple:

fed funds rate =inflation minus desired inflation plus political differential (for federal reserve board member and politicians' reelection.) The dual mandate makes politicians seek more employment versus currency stability. Crypto makes that a hard thing to do as designed.

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