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We've been printing like crazy people for at least the last ten years. Why haven't we see inflation before this? I do agree that asset price inflation has been
by disgruntledphd2 5y ago
We've been printing like crazy people for at least the last ten years. Why haven't we see inflation before this?
I do agree that asset price inflation has been a real thing, but if it's just money printing, then why didn't we see broad based inflation from 2008 onwards? (Serious question).
- neilwilson 5y agoThe asset prices aren't inflating. They are returning to their true market determined level. Interest rate setting is an artificial market intervention that suppresses market prices by giving people a 'free money' alternative paid for by taxpayers. As long as you are a bank of course.
- AlgorithmicTime 5y agoThe money wasn't moving into the consumer economy, it was going into the stock market and assets.
- medvezhenok 5y agoSupply chain problems because of virus & fiscal stimulus (as opposed to monetary). Monetary can't cause inflation since velocity of money drops. Fiscal can) Also the overall consumption basket suddenly flipping from 60% services to 60% goods on a dime in April 2020)
- deleted 5y ago[deleted]