Tagged: money illusion

Money Illusion in Prince Parker’s Court - The Dismal Science

Eric Crampton • Feb 15, 2013 •

• David Parker,
• money illusion,
• New Zealand

Alas, money illusion wasn't confined to King Arthur's Court. Witness debates in New Zealand about manufacturing and the dollar. Here's Finance Minister Bill English, who understands that devaluation only affects exports by effectively cutting rea... Read More

Money Illusion in King Arthur’s Court - The Dismal Science

Eric Crampton • Feb 15, 2013 •

• feudalism,
• fun,
• literature,
• Mark Twain,
• money illusion

Mark Twain channels the frustration of thousands of future Econ 104 lecturers confounded by popular unwillingness to note the difference between the nominal and the real. Twain's Connecticut Yankee tries to explain to some local freemen that the combi... Read More