5 ms·
Here's my cynical take: This bill will subsidize a lot of jobs when we already have zero slack in our labor market. I think it's an excellent target for spendin
by tootie 4y ago
Here's my cynical take: This bill will subsidize a lot of jobs when we already have zero slack in our labor market. I think it's an excellent target for spending and would have a positive multiplier in normal times but in 2022 this seems likely to just goose inflation another inch.
Unless we actually start seeing cyclical job losses finally hit right when this money starts being spent. Which is entirely possible.
- andrekandre 4y agoany way to stop inflation without a needing job losses?
- diordiderot 4y agoTaxes. People fear capital flight. Where you gonna go?
- fleddr 4y agoStill missing the point. You concerns mean absolutely nothing when the essentials in your society break down.
- tootie 4y agoInflation affects the availability of essentials. I'm not saying this is a bad deal just that it's possibly a big trade off doing it right now. It's also conceivable that increased production will alleviate some supply bottlenecks making this neutral on inflation.
- favflam 4y agoIf the government spends money on capacity increases, then inflation will go down, no? Labor is tight, but once production is up the supply curve shifts and prices start going down.