3 ms·
Much of inflation is being driven by corporate concentration and failed tax policy: https://scholarworks.umass.edu/econ_workingpaper/343/ https://scholarworks.
by bugglebeetle 4y ago
Much of inflation is being driven by corporate concentration and failed tax policy:
https://scholarworks.umass.edu/econ_workingpaper/343/ https://scholarworks.umass.edu/econ_workingpaper/343/
While much of wage growth is being driven by a plague-induced labor shortage and in response to the above. Cranking the interest rate dial to 11 solves very little besides impoverishing workers to preserve the dysfunctional status quo for the wealthy and business owners. This is quite obvious in how they’re handling all these bank failures.
- astrange 4y agoThe idea that raising interest rates actually causes inflation is called neo-Fisherism; it's currently being practiced in Türkiye[0] where it isn't working. [0] formerly known as Turkey
- bugglebeetle 4y agoRaising interests rates doesn’t cause inflation, but it also doesn’t fix it when inflation is the result of corporate concentration and cartel like behavior around pricing.
- astrange 4y agoPersonally I think we should've used the low interest rate period to actually build some inflation-fighting housing and transit; instead we've just sort of noticed it's a problem now that it's too late.
- xp84 4y ago100% agree. Sadly we were told the federal and state governments "couldn't afford to" borrow lots of money at near-0% to build such things. "The Debt" was just too big of a concern. eyeroll