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	<title>FOOD FOR THOUGHT &#8211; RFR</title>
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	<link>https://richesflores.com</link>
	<description>GLOBAL MACRO AND THEMATIC INDEPENDENT RESEARCH</description>
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	<title>FOOD FOR THOUGHT &#8211; RFR</title>
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		<title>Now What Do We Do?</title>
		<link>https://richesflores.com/2014/07/18/now-what-do-we-do/</link>
		
		<dc:creator><![CDATA[Véronique Riches-Flores]]></dc:creator>
		<pubDate>Fri, 18 Jul 2014 06:42:42 +0000</pubDate>
				<category><![CDATA[Euro zone]]></category>
		<category><![CDATA[FOOD FOR THOUGHT]]></category>
		<category><![CDATA[GLOBAL MACRO]]></category>
		<category><![CDATA[economic policy]]></category>
		<category><![CDATA[Eurozone]]></category>
		<guid isPermaLink="false">https://richesflores.com/?p=4295</guid>

					<description><![CDATA[The raft of data coming out of the euro area in recent weeks has been more and more mediocre and has erased all doubts: the strategy for extricating the economy from the crisis in the past few years has been a failure. None of the mechanisms born of resulting from decisions made by European leaders have delivered results or are about to:
-the structural policies aimed at improving competitiveness have failed, because global trade is tanking
-as proof: Germany’s export outlook is sputtering and the ability of the euro area’s biggest economy to act as the region’s growth driver (i.e. its “appointed” role) is going up in smoke;
-fiscal austerity’s only effect, under such conditions, is to fuel deflationary pressures and are counter-productive in controlling public debt levels.

These failures hardly come as a surprise. Like many of our peers, we have been decrying these shortcomings but did we really need to spell them out before hoping to make a convincing enough argument to effect the urgent change in the direction of European economic policy? With the situation becoming increasingly dire, where should, at present, our fears and hopes lie?]]></description>
		
		
		
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		<title>What Pocket Change Can Tell Us About Past -and Future- Inflation</title>
		<link>https://richesflores.com/2013/09/03/what-pocket-change-can-tell-us-about-past-and-future-inflation/</link>
		
		<dc:creator><![CDATA[Véronique Riches-Flores]]></dc:creator>
		<pubDate>Tue, 03 Sep 2013 06:14:19 +0000</pubDate>
				<category><![CDATA[FOOD FOR THOUGHT]]></category>
		<category><![CDATA[Inflation]]></category>
		<category><![CDATA[United States]]></category>
		<guid isPermaLink="false">https://richesflores.com/?p=2107</guid>

					<description><![CDATA[When you get back from an overseas vacation, you’re often left with a bunch of small foreign coins in your pocket. You typically end up stashing them away in a junk drawer as soon as you get home, and this is precisely what I was in the process of doing after a recent trip to the U.S. when a penny dated 1964 caught my eye. I then looked more closely at the dates on my assorted pennies, dimes, nickels, and quarters. I even added my daughter’s coins to the mix. Soon intrigued by this journey back through time, we decided to group the coins by decade. What we found was startling: out of the 107 pennies left from our trip this summer, 3 were from the 1960s, 12 from the 1970s, and 11 from the 1980s. In other words, 24 percent of our lowest denomination coins came from years of double-digit inflation—when the coin mints apparently ran non-stop.]]></description>
		
		
		
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		<title>How Effective is the Wealth Effect?</title>
		<link>https://richesflores.com/2013/06/07/how-effective-is-the-wealth-effect/</link>
		
		<dc:creator><![CDATA[Véronique Riches-Flores]]></dc:creator>
		<pubDate>Fri, 07 Jun 2013 14:42:50 +0000</pubDate>
				<category><![CDATA[FOOD FOR THOUGHT]]></category>
		<category><![CDATA[United States]]></category>
		<guid isPermaLink="false">https://richesflores.com/?p=1727</guid>

					<description><![CDATA[The wealth effect—the increased consumer spending thought to result from rising financial and real estate asset prices—is frequently cited as a key argument for renewed faith in the U.S. economy today. That faith, however, may soon prove to be misguided, as we will attempt to show in this paper.

Economists use the term wealth effect in a very precise way: to explain how household savings patterns shift in response to changes in household net worth. When net worth goes up]]></description>
		
		
		
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