A common view is that monetary policy is all about interest rates: higher rates for a tighter
policy, lower rates for an easier policy. But this is at best superficial. Interest rates are
themselves subject to the rate of inflation, which depends on money growth over the
preceding two years or more. Illustrating with three different examples, Prof. Steve Hanke
and I show that money growth is what really matters for inflation, and in turn for interest rate
levels in the particular countries.