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And Biden's still trying to give away more in student loan forgiveness and has still paused payments.

• epylar 4y ago
  Giving away money doesn't cause inflation. Printing money does though. If he was printing money specifically to finance this it would be causing extra inflation.
  • threadweaver34 4y ago
    https://www.richmondfed.org/research/national_economy/macro_minute/2022/mm_10_11_22 https://www.richmondfed.org/research/national_economy/macro_... > Using the relationship in Figure 1, we calculate this as an increase of the PCE price level from 295.7 to a midpoint of estimates of 300.2, plus or minus 0.9. > Expectation of additional debt forgiveness programs evokes a moral hazard incentive for college students to take out more loans and for universities to increase tuition rates.1 To the extent that inflation is inherently persistent, any initial price level increase would also lead to sustained inflation over the near future.
    • epylar 4y ago
      This analysis doesn't take into account increased wealth/productivity generated by people with debt forgiven.