4 ms·
Using the prime rate to control this specific type of inflation (mainly by corporations using "supply chain issues" to raise prices usuriously) is like using an
by r00fus 4y ago
Using the prime rate to control this specific type of inflation (mainly by corporations using "supply chain issues" to raise prices usuriously) is like using an AA gun on a mosquito swarm (mostly ineffective but causing massive collateral damage).
- DiggyJohnson 4y agoWhat other options do they have besides the AA gun though?
- r00fus 4y agoThe FED has few other tools but the USG is more than the FED. Look up Nixon's price freeze. Legislative or executive branches could enact windfall profits acts. The list is quite long in fact, but requires either a working congress or sympathetic & unrepentant executive. That is, unless, of course, the mosquito swarm is a useful excuse to actually do the collateral damage you want.
- juve1996 4y agoCongress won't legislate so this is what we're left with.