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First they give free money so house prices skyrocket. 10 years later they "fight" inflation that they caused by making credit scarce. House prices are sticky a
by rvba 3y ago
First they give free money so house prices skyrocket. 10 years later they "fight" inflation that they caused by making credit scarce.
House prices are sticky and dont drop by 50%.
Also in general the inflation created through interest is not returned by central banks, so they make rich richer and poor poorer.
- ianai 3y agohttps://fred.stlouisfed.org/series/CSUSHPINSA https://fred.stlouisfed.org/series/CSUSHPINSA