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Nick Rowe is a professor of economics at Carleton University in Ottawa, a member of the CD Howe Institute\u2019s Monetary Policy Council and of Carlton University\u2019s Centre for Monetary and Financial Economics, and a popular blogger at "Worthwhile Canadian Initiative." He developed an interest in macroeconomics as he came of age in the United Kingdom during the high inflation period from the late 1960s to 1970s. Nick joins the show to discuss some of the basics of monetary economics and argues that money is the critical factor that distinguishes macroeconomics from microeconomics. He also shares his thoughts on helicopter money, which he thinks is \u201csmall beer\u201d or not as big a deal as commentators make it out to be. Finally, David and Nick also discuss some helpful analogies Nick has used to illustrate economic concepts including \u201cMilton Friedman\u2019s thermostat\u201d \u2013 how a good thermostat works like a good central bank! David\u2019s blog: http://macromarketmusings.blogspot.com/ Nick Rowe\u2019s blog: http://worthwhile.typepad.com/ David\u2019s Twitter: @DavdBeckworth Nick Rowe\u2019s Twitter: @MacRoweNick Related links Centre for Monetary and Financial Economics (homepage) http://carleton.ca/economics/research/cmfe/ \u201cWhat Makes a Central Bank? Asymmetric Redeemability and the Will to Act as One.\u201d http://worthwhile.typepad.com/worthwhile_canadian_initi/2009/10/what-makes-a-bank-a-central-bank.html \u201cHelicopter Money is Small Beer, and Normal\u201d http://worthwhile.typepad.com/worthwhile_canadian_initi/2016/05/helicopter-money-is-small-beer.html \u201cIs Money a Liability?\u201d http://worthwhile.typepad.com/worthwhile_canadian_initi/2012/03/is-modern-central-bank-money-a-liability.html \u201cMilton Friedman\u2019s Thermostat\u201d http://worthwhile.typepad.com/worthwhile_canadian_initi/2010/12/milton-friedmans-thermostat.html