Inflation Mystery Solved

(1) Janet in Wonderland. (2) There’s no Phillips curve on the other side of the looking glass. (3) BIS chief economist Claudio Borio’s speech affirms my 40 years of work on disinflation. (4) Fed’s top economist says that inflation is a mystery. (5) Borio tells central bankers to stop targeting inflation. (6) Inflation isn’t just a monetary phenomenon. (7) Real forces related to globalization, technology, and demography can drive inflation too. (8) Global slack matters. (9) Technology disrupts pricing power. (10) What if the neutral real interest rate does not exist? (11) Dog barking at a mirror. (12) Bottom line: Raise interest rates to stop borrowing binges, stock market melt-ups, and a debt trap.