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Remember earlier this year a fund manager said they expected inflation over 5%, and probably 8-10%...I can tell you that view was regarded as total and utter in
by hogFeast 5y ago
Remember earlier this year a fund manager said they expected inflation over 5%, and probably 8-10%...I can tell you that view was regarded as total and utter insanity at the time. But you looked at fiscal, you looked at monetary...and how could anything else happen?
What was truly odd was people saying that 50% of GDP of stimulus would have no price effect. The frog in the water not noticing the rising heat.
- quotemstr 5y agoThe money supply is a hockey stick. Of course we're going to see massive inflation. And of course lots of serious people are denying it. It takes a lot of intellectual effort to fool yourself into disbelieving your own eyes
- imtringued 5y agoFiat currency has a deflationary bias. Given an independent central bank you are not going to see persistent inflation because they will do the obvious thing and just raise rates. The Fed has a big red "DUMP IT" button they can press at any time but no button to increase inflation.
- quotemstr 5y agoOf course the fed has a button to increase inflation: massive asset purchases using money made with INSERT INTO.