This paper examines how supply-side policies may play a role in fighting a low aggregate demand that traps an economy at the zero lower bound (ZLB) of nominal interest rates. Future increases in productivity or reductions in mark-ups triggered by supply-side policies generate a wealth effect...

This paper examines how supply-side policies may play a role in fighting a low aggregate demand that traps an economy at the zero lower bound (ZLB) of nominal interest rates. Future increases in productivity or reductions in mark-ups triggered by supply-side policies generate a wealth effect...

1 Introduction: Painting by Numbers—Decoding the Discourse of Economics -- 2 American Dream: Manufacturing Monetary Miasma -- 3 Bread and Circuses, or Poppies to Make You Sleep -- 4 Children of the Revolution: Reaganomics as Free Market Redux -- 5 Spirits in the Material World: Alan Greenspan...

This paper examines how supply-side policies may play a role in fighting a low aggregate demand that traps an economy at the zero lower bound (ZLB) of nominal interest rates. Future increases in productivity or reductions in mark-ups triggered by supply-side policies generate a wealth effect...