My impression is a bit of inflation won’t be the worst thing for Americans and the world. It will boost our manufacturing as imports become less desirable and

My impression is a bit of inflation won’t be the worst thing for Americans and the world. It will boost our manufacturing as imports become less desirable and exports become more attractive. It also tends to boost economic activity in the rest of the world whose businesses deal with the dollar a lot. When we became the world’s primary reserve currency by exchanging military protection for dollar based markets with OPEC after WWII, the US economy was a whopping 40% of global GDP. However, now we’re about 15%. This means we constantly have to buy imports in order to keep the markets running which really hurts our manufacturing base. I used to think having a strong dollar and being the reserve currency was an unquestionably good thing for America, but now I’m less sure. It probably is for me as a white collar worker who likes to travel, but for many Americans it may mean the loss of stable blue collar manufacturing jobs. If that inflation also occurs by pumping greenbacks into middle and lower class Americans hands, I think I’m all for it. Although certainly I’d be wary of promoting an inflation rate higher than five or six percent. Not because of any underlying fundamental understanding, but because things are _relatively_ stable (coup attempts withstanding) and I don’t want to necessarily live through the moment we decide to turn the cruise ship too fast.