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Why pay people 50% more than they made before? Why not just replace lost incomes? This whole inflationary disaster could have been avoided while still pursuing
by adam_arthur 5y ago
Why pay people 50% more than they made before? Why not just replace lost incomes?
This whole inflationary disaster could have been avoided while still pursuing a compassionate policy response. There was no logical thinking in the level of fiscal handouts done.
Larry Summers did a presentation in Feb 2021 before the ARP was even passed predicting why it would cause inflation, due to the stimulus far exceeding lost wages.
You can find it on YouTube, but he empirically walks through why the magnitude of the package was a bad idea