Inflation is neither good nor bad. It is merely a measure. People mistake cause and effect in economics all the time. Inflation can be a good proxy for money v

Inflation is neither good nor bad. It is merely a measure. People mistake cause and effect in economics all the time. Inflation can be a good proxy for money velocity. But it can also just be a proxy for growth of money supply. In the former, it’s often a sign of economic activity/growth. In the latter, it’s often a sign of stagflation. The US seems closer to stagflation at the moment. The Fed have an opportunity to nip this in the bud and deflate their balance sheet, but they won’t.