"It May Take A Massive Program, Large Enough To Shock Taxpayers" - The Jackson Hole Post-Mortem

"According to one economist, what happens next may put the past 7 years of simple 'financial repression' and central bank failure to shame: in a lunch address by Princeton University economist Christopher Sims, 'policymakers were told that it may take a massive program, large enough even to shock taxpayers into a different, inflationary view of the future.'
'Fiscal expansion can replace ineffective monetary policy at the zero lower bound,' Sims said. 'It requires deficits aimed at, and conditioned on, generating inflation. The deficits must be seen as financed by future inflation, not future taxes or spending cuts.' In other words, openly monetizing the debt with the intent of generating runaway inflation: think helicopter money on steroids, a strategy that ultimately risks the dollar's status as a global reserve currency."