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Fed Chairman Jerome Powell retires the word 'transitory' in describing inflation
- gnicholas 5y agoNot surprising; he likely knew it wasn't transitory the whole time. But if he'd admitted it was permanent from the beginning, news outlets would have called it permanent, firms would have raised prices (more and sooner), and there would have been an even sharper upward spiral. So instead he downplayed it as transitory for as long as possible, in an attempt to minimize the actual inflation trend.
- bradwood 5y agoCentral bankers do this all the time. They are unelected. They lie. They are largely unaccountable. And they control the levers of monetary policy that, if mismanaged (which is more than often true) results in a pernicious stealth tax on the wider economy. And this all in so-called modern Western democracies.
- errantmind 5y agoThese 'mislead the public for their own good' approaches have and will continue to backfire as people stop trusting these institutions. What could go wrong? Guess we'll have a front-row seat.