“The sources of deflation are not a mystery. Deflation is in almost all cases a side effect of a collapse of aggregate demand.. a drop in spending so severe that producers must cut prices on an ongoing basis in order to find buyers.”

The Federal Reserve will not monetize the debt.

A gold standard doesn’t imply stability in the prices of the goods and services that people buy every day, it implies a stability in the price of gold itself.

The basic prescription for preventing deflation is therefore straightforward, at least in principle: Use monetary and fiscal policy as needed to support aggregate spending.

Achieving price stability is not only important in itself, it is also central to attaining the Federal Reserve’s other mandate objectives of maximum sustainable employment and moderate long-term interest rates.

The risk exists that, with aggregate demand exhibiting considerable momentum, output could overshoot its sustainable path, leading ultimately in the absence of countervailing monetary policy action to further upward pressure on inflation.

With respect to their safety, derivatives, for the most part, are traded among very sophisticated financial institutions and individuals who have considerable incentive to understand them and to use them properly.

Indeed, in general, healthy investment returns cannot be sustained in a weak economy, and of course it is difficult to save for retirement or other goals without the income from a job.

The U.S. government has a technology, called a printing press (or, today, its electronic equivalent), that allows it to produce as many U.S. dollars as it wishes at essentially no cost.

I generally leave the details of fiscal programs to the Administration and Congress. That’s really their area of authority and responsibility, and I don’t think it’s appropriate for me to second guess.

One might as well try to perform brain surgery with a sledgehammer.

We’ve never had a decline in house prices on a nationwide basis. So, what I think what is more likely is that house prices will slow, maybe stabilize, might slow consumption spending a bit. I don’t think it’s going to drive the economy too far from its full employment path, though.

It is not the responsibility of the Federal Bank – nor would it be appropriate – to protect lenders and investors from the consequences of their decisions

The amount of currency in circulation is not changing. The money supply is not changing in any significant way.

If Wall Street crashes, does Main Street follow? Not necessarily.

In fact, the world needs more nerds.

Although low inflation is generally good, inflation that is too low can pose risks to the economy – especially when the economy is struggling.

A money-financed tax cut is essentially equivalent to Milton Friedman’s famous ‘helicopter drop’ of money.

I love the process of cutting everything out with a scalpel yourself: I don’t want to have my stencils drawn up in Illustrator, then laser-cut. I like the fact that it’s slightly wrong.

Jazz hadn’t given her many details of exactly what life in the Dent house had been like, but he’d told her enough that she knew it wasn’t hearts and flowers. Well, except for the occasional heart cut from a chest. And the kind of flowers you send to funerals.

God built the Earth in seven days and seven nights, that’s how I’m going to approach doing the album. So when it’s time for me to actually finish up the album and do final cuts of everything.

People ask me, “How do I succeed?” Whatever it is they do, I say, “Go and find 20 ways of messing it up. By 21, you’ll be getting there.” Life is an adventure, go back with cuts, scars and bruises.

Women only cut their hair in times of crisis… It’s somethin’ a woman always has the power to do, even when she loses control over everything else. Cuttin’ hair is a cry for help.

Make sure you cut the grass low so the snakes show

As a well cut diamond has many facets, each reflecting a different color of light, so does the word yoga, each facet reflecting a different shade of meaning and revealing different aspects of the entire range of human endeavor to win inner peace and happiness.