Interest, Growth & Inflation

Subtitled "The Contractual Savings Theory of Interest." Excellent table of contents and superior index. The dates cover 1964 - 1974 and the book has been in manuscript form since then without ever being published. The author's son, John Williams Jr., has the only copy available and we have printed from that. To control the business cycle, forecast any movement of interest rates and guide the growth rate of the economy, there is a strong chain of cause and effect. The faster the growth, the higher the rate of interest will be. Inflation can make growth measured in money go faster. Our Free Enterprise System is the result of these various mechanisms. The main work is based on finding where the interest rate is determined, which is home loans and the municipal bond market. The residential sector where price and quantity interact to set the interest rate. That rate spreads out to other sectors which the author explains. The chapter on the stock market is especially clearly written. Stock prices are made partly by truth, partly by myth and partly by forces purely mechanical. Sounds a lot like today. 240 pp.