patrick.net

Astrid,

Thanks for the info. I actually went to one of the Claremont Colleges as an undergrad (won't say which one --can't give too much away ;-) ), so I know exactly what you're talking about.

HARM,

I would tell you an even better source of free food, but that would totally give away my identity. :P

Randy,

From Merriam-Webster Online

inflation (noun): an increase in the volume of money and credit relative to available goods and services resulting in a continuing rise in the general price level .

From Webster Online

inflation (noun): A general and progressive increase in prices.

If dictionaries can't agree on a definition of inflation, I can't expect we will. The first definition is the classical definition of inflation and simply means that the money supply is growing. This is what many people refer to as "monetary inflation" to distinguish it from "price inflation". Let's not dwindle on the definition of "inflation" and instead refer to "monetary inflation" and "price inflation" to describe these two obviously different phenomenon.

Once we're past the semantics, there are some unanswered questions I posed to you that I’d like to get back to.

All inflation is monetary.

I would tell you an even better source of free food, but that would totally give away my identity.

Join Google, another source of free-food. Wait, I mean you will not need free food. :)

Well, I'll put it in terms HARM might understand. :) I made a mean cheese tray when I was in college.

Zephyr,

That was my stance, but frank has pointed out (correctly) that this is semantic in our debate (on fiat money), so we can move past it. You and I obviously subscribe to neoclassical economic theory, at least insofar as the quantity theory of money.

Frank,

We can continue the fiat money debate if you wish, or we can pick it up when a more econ-focused thread comes up sometime soon. If none are posted by other authors I'll probably start one myself within a week.

"I’ll probably start one myself within a week."

Cool. thx.