Under the gold standard there was no tendency toward a rising price level; in an economy with growing output, output often grows faster than the slow-growing stock of gold, producing periods of mild benign deflation, so any positive inflation was cause for concern.

factualpending

Speaker

Larry White

Evidence Quote

in an economy with growing output you often have periods of mild deflation that is output grows a little faster than the stock of gold

Source

Larry White on Hayek and Money 02/01/2010EconTalk
Created: 6/17/2026, 10:31:20 AM

My Notes

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