Biden ACTUALLY said that due to covid people aren't going out, not eating in restaurants, movies, etc. instead staying home and buying things. He is so out of touch it's insane.
To successfully fight inflation MONETARY Policy MUST BE TIGHTENED. Slowing monetary policy through higher rates, less demand, less ease of getting loans and earning more in savings accounts to OFFSET the reduced purchasing power.
Democrats think it's smart to pour more money out there, keep monetary policy loose. If that happens the inflation we see now will look like cheap.
Here's the BIG RUB;
If they fight inflation properly and the way it's always been done, then they WILL SLOW THE ECONOMY down which is what happens when you tighten monetary policy. Stock Market party will be over but maybe you will get 2% on a CD in the bank again.
Biden is F'ed.
To successfully fight inflation MONETARY Policy MUST BE TIGHTENED. Slowing monetary policy through higher rates, less demand, less ease of getting loans and earning more in savings accounts to OFFSET the reduced purchasing power.
Democrats think it's smart to pour more money out there, keep monetary policy loose. If that happens the inflation we see now will look like cheap.
Here's the BIG RUB;
If they fight inflation properly and the way it's always been done, then they WILL SLOW THE ECONOMY down which is what happens when you tighten monetary policy. Stock Market party will be over but maybe you will get 2% on a CD in the bank again.
Biden is F'ed.