The David Lin Report · Friday, September 4, 2026
Professor Hanke asserted that inflation is fundamentally a monetary phenomenon, driven by the money supply rather than solely by oil price fluctuations. He cited the rapid growth of the Divisia M4 measure of money supply as evidence that inflation is likely to persist or increase.
“Well, the the market's perception is that this feeds into inflation. And the oil price going up feeds into inflation. That that's not my take. Uh, my take is that inflation is always and everywhere a monetary phenomenon.”
“So, if we look at 7.9% year over year growth rate now, that's well over Hanky's 6% goal and growth rate, a rate consistent with 2% inflation target.”