> Not how the Fed works. (And given recent deficits, the Congress isn’t worried.) Yes I’m aware. It’s the battle between monetary and fiscal policy. So far fis

> Not how the Fed works. (And given recent deficits, the Congress isn’t worried.) Yes I’m aware. It’s the battle between monetary and fiscal policy. So far fiscal policy is winning. > The multiplier effect from credit contraction more than outweighs the new money of marginally-higher rates. Feel free to back that up with a source. I’ve updated my comment with mine.