How Is Interest Rate Used To Control The Value Of Money

According to Milton Freedman, the Central Bank uses short-term interest to control the value of money by controlling how much trading of securities and bonds can happen on the open market.

EconTalk · Milton Friedman on Money · at 10:11 · June 20th, 2020 ·Transcript

On this episode

What Causes Inflation at 4:25
How Is Interest Rate Used To Control The Value Of Money at 10:11
When Did The Central Banks Start To Control Growth Via Inflation-targeting at 15:42
When Are We Going To See The Next Major Inflation at 19:36