This is the new Iranian president Hassan Rouhani on Twiiter (on November 26):
From an economic perspective, we were in a state of stagflation–negative growth + extremely high inflation–first time in 50 yrs.
…Tracking inflation is very important to me. Change in inflation has been +2.2 – 2.3% MoM, which is now reduced to +1.2%
…Inflation has decreased from 43% to 36%–still very high, but it’s an improvement
…Our plan is to bring inflation below 25% by end of next year, from a level of 43% when we took office.
Ok, fine president Rouhani what do you want to do about it?
And here is his answer:
Wauw! Is Rouhani’s favourite economist Milton Friedman?
I wish President Rouhani the best of luck in reducing Iranian inflation and in reviving the Iranian economy – it is badly needed. I am sure he will succeed if he follows his apparent monetarist instincts.
HT Scott Sumner and Left Outside.
