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But don't they want the cpi to go down right now? They can only do that by shredding dollars right?

• mindslight 5y ago
  But they don't want it to go up much more than 2% either. So when it does, they'll have to stop lowering rates as they've been doing over the past three decades. They have been able to keep lowering rates because technology and offshoring make real prices ever cheaper, while faux austerity keeps the newly printed money out of the hands of consumers. This has allowed them to point to the CPI and say that inflation is still low, despite higher asset inflation. Direct consumer stimulus stops their ability to keep ignoring inflation, by causing CPI inflation instead of asset inflation.