I didn’t know until the release of the “Iraq Study Group Report“ that Iraq’s “inflation is above 50 percent. Unemployment estimates range widely from 20 to 60 percent.” So a quick look at the primitive date at the Iraq Central Bank shows a 40% increase in M2 from November 2005 through May 2006 (the last time the data were updated). Cause and effect, with very little time lag! Also, it doesn’t seem like the famed “inflation-unemployment tradeoff” is working very well.
Iraq’s Monetary Policy
