Inflation under bernanke biography
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Bernanke doctrine
The Bernanke doctrine refers to measures, identified by Ben Bernanke while Chairman of the Board of Governors of the United States Federal Reserve, that the Federal Reserve can use in conducting monetary policy to combat deflation.[1]
Background
In 2002, when the word "deflation" began appearing in the business news, Bernanke, then a governor on the Board of the Federal Reserve, gave a speech about deflation entitled "Deflation: Making Sure 'It' Doesn't Happen Here."[1] In that speech, he assessed the causes and effects of deflation in the modern economy.
Inflation under bernanke biography
Bernanke states:
"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.
Likewise, the economic effects of a deflationary episode, for the most part, are similar to those of any other sharp decline in aggreg