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I agree with the premise, but printing currency in the midst of a large economic crisis to keep consumers afloat is not guaranteed to result in inflation though
by lefrenchy 6y ago
I agree with the premise, but printing currency in the midst of a large economic crisis to keep consumers afloat is not guaranteed to result in inflation though, is it?
- jackcosgrove 6y agoSupply chains were already starting to fray. There's a diner near me with a sign up front apologizing for raising their prices because of a beef shortage. Borrowing money to fund consumption now won't result in long-term inflation if we consume less in the future to account for the pulled-forward demand. I doubt that will happen.
- lefrenchy 6y agoFair enough. Isn’t that just a result of supply chains being hurt as a result of COVID? Those prices aren’t raising as a result of stimulus or wage growth, and should normalize as we return toward some sense of normalcy.
- OkGoDoIt 6y agoWhen was the last time you ever saw a restaurant lower their prices, regardless of the reason? Price increases have a tendency to stick.