Scott Sumner is the Ralph G. Hawtrey Chair of Monetary Policy at the Mercatus Center at George Mason University, and a returning guest to Macro Musings. Scott joins the show today to talk about the recent market turmoil caused by the COVID-19 coronavirus and its implications for monetary policy. David and Scott also discuss how the Fed should respond to a possible pandemic, why monetary policy is preferable to fiscal policy during a crisis, and how to approach the central bank credibility problem. Transcript for the episode can be found here: https://www.mercatus.org/bridge/tags/macro-musings Scott's blog: https://www.themoneyillusion.com/ Scott's Mercatus profile: https://www.mercatus.org/scholars/scott-sumner Related Links: *It's Time for the Fed to Take On the Coronavirus Threat* by David Beckworth https://www.nationalreview.com/2020/02/its-time-for-the-fed-to-take-on-the-coronavirus-threat/ *The Era of Fed Power is Over. Prepare for a More Perilous Road Ahead.* by Greg Ip https://www.wsj.com/articles/shrinking-influence-of-central-banks-ends-decades-of-business-as-usual-11579103829?mod=rsswn David's blog: macromarketmusings.blogspot.com David's Twitter: @DavidBeckworth

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