How the BOJ Created "Noninflationary" Money While Ruining the Japanese Economy

Milton Friedman (1963) argued that "inflation is always and everywhere a monetary phenomenon in the sense that it is and can be produced only by a more rapid increase in the quantity of money than in output." Nevertheless, in the last decades, the strong growth of money supply in many industrial countries was not matched by a respective increase in officially measured price levels, argue Taiki Murai and Prof. Dr. Gunther Schnabl.