ZROZ - Perpetuities Debt Crises And Inflation

June, 09 2020 09:14 AM PIMCO 25 Year Zero Coupon U.S. Treasury Index Exchange-Traded Fund

My brief exchange with Markus Brunnermeier at the end of a COVID-19 talk attracted some attention, and merits a more detailed intervention. Gavin Davies at FT made some comments (more later) as did the Economist.

My proposal to fund the US with perpetuities comes from a paper, here. (Sorry regular readers for the repeated plug.) The rest is standard fiscal theory of the price level, spread over too many papers to give one more plug.

There are three main points. First, inflation is not about money anymore - the choice of money vs.

Company Name:	PIMCO 25 Year Zero Coupon U.S. Treasury Index Exchange-Traded Fund
Stock Symbol:	ZROZ
Market:	NYSE

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