Keynesian notions of aggregate demand as a commons problem were not a thing I remember hearing about in dath ilan. NGDP level targeting definitely wasn’t a thing. If somehow, someday, I jump back to dath ilan, I will introduce the idea that serious people don’t need to coordinate to avoid crashes if there is NGDP level targeting because then everything happens automatically, and the shadarak-adjudicated peer review system will be swift to recognize this as a good idea and run experiments, and then, having stolen credit for Scott Sumner’s ideas as I have stolen credit for so many others, I will be recognized enough to talk openly about BDSM.
What’s more likely in a highly rational civilization?
a) their economists never thought of the concept of aggregate demand and affecting it with monetary policy
or
b) their monetary policy is so effective at eliminating demand shocks that the average person never hears about demand shocks or monetary policy, and only hears about supply shocks and supply side policies aimed at eliminating them
I imagine the dath ilan’ian in Eliezer’s body might not get the reception he expects with those ideas if he returns home...
What’s more likely in a highly rational civilization?
a) their economists never thought of the concept of aggregate demand and affecting it with monetary policy
or
b) their monetary policy is so effective at eliminating demand shocks that the average person never hears about demand shocks or monetary policy, and only hears about supply shocks and supply side policies aimed at eliminating them
I imagine the dath ilan’ian in Eliezer’s body might not get the reception he expects with those ideas if he returns home...