Chair of Monetary Policy
Contributor's Links: The Money Illusion

Scott Sumner is the Ralph G. Hawtrey Chair of Monetary Policy at the Mercatus Center at George Mason University.  He is also Professor Emeritus at Bentley University and Research Fellow at the Independent Institute. In his writing and research, Sumner specializes in monetary policy, the ... more


Is Money Getting Tighter?
I’ve expressed skepticism about the claim that the Fed has been tightening monetary policy since last fall. In my view, most of the increase in interest rates over the past year is due to the Fisher effect, not the liquidity effect of tight money.
Theory And Empirical Evidence
The MMT model has always been wildly inconsistent with hundreds of years of empirical evidence on the effects of monetary policy.
The Problem With Fiscal Policy
Most fiscal policy consists of adjustments in taxes and transfers. However, the effects of this type of fiscal policy are largely offset by changes in monetary policy, at least when the Fed is doing its job.
Inflation Is Worse Than It Looks
The government recently announced that the 12-month rise in the CPI slowed from 8.5% in March to 8.3% in April. But this is not good news, as inflation is actually getting worse.
Ending Transitory Inflation Is Easy
It’s easy to end a transitory inflation. It’s hard to end a persistent inflation. That’s why it’s essential that central banks engage in “level targeting.” Level targeting makes all inflation transitory.
Steer The Bus And Straighten The Road
I often use the analogy of steering a bus when discussing monetary policy. A rise in the equilibrium or “natural” rate of interest is like a bend in the road.




Latest Posts
Pandering To The Public's Ignorance
Andrew Gelman has a post discussing a website called “Panda”, which provides a wealth of misinformation about Covid-19. What makes the site of interest is that its board contains some pretty big names.
Trump Didn’t Want An Investigation, He Wanted An “investigation”
I’m rather discouraged by the fact that so many people seem to accept at face value that Trump wanted the Ukraine to investigate Biden.
The Sad Decline Of American Democracy
Yes, lots of horrible things are also occurring in China, but Americans really do need to look in the mirror.

Work Experience

Ralph G. Hawtrey Chair of Monetary Policy
Mercatus Center at George Mason University​
2015 - Present (7 years 6 months)
Professor of Economics
Bentley University
1982 - 2015 (33 years 10 months)


Wisconsin University
Chicago University