Steve Chapman Publicizes My Bet
By David Henderson
In his column in the Chicago Tribune today, Steve Chapman publicizes my inflation bet with Bob Murphy:
Inflation hawks have been predicting a severe outbreak for years. But David Henderson, an economist at Stanford University’s Hoover Institution and the Naval Postgraduate School, has been skeptical enough to put his money where his mouth is.
In December 2009, he publicly bet economist Robert Murphy of the Pacific Research Institute $500 that by January 2013, there would not be a single point at which the CPI would be up 10 percent or more from a year before. So far, it hasn’t been, and it shows no sign it will.
There’s a lot of other good content in the piece. He notes, for example, that MIT’s Billion Prices Project finds inflation to be lower than the 1.7 percent that the government estimates. Steve also cites Scott Sumner.