In March, I wrote that inflation was over. Three months later, nothing has happened to turn me away from that conclusion. Three months later, policymakers and the commentariat still are oddly tied to backward looking measures like 12 month trailing inflation rates and to CPI shelter components whose lagging tendencies are broadly understood. So, from both the FOMC and its critics, there still seems to be a lot of worry about whether we can tackle the inflation that has now been thoroughly tackled for nearly a year.
I especially like the sentiment, "Everyone is Wrong About Everything."
I do not know how germane this is, but inflation is dead or even deflation in China and Thailand, and getting there in Japan. Most of the world is in disinflation, and pretty strong.
There is this:
Today's CPI Data by Truflation
USA
The USA Inflation Rate by Truflation is 2.34%, -0.23% change over the last day. Read Methodology
Also, why is it a sacrosanct premise that only commercial banks can expand the nation's money supply (due to the fractional reserve banking system, which evolved by happenstance)?
This makes real estate the de facto whipping boy or the exalted prince when it comes to managing monetary policy.
In the pandemic, Bank Indonesia just bought bonds directly from the government, to see that nation through that period. It worked, Indonesia does not have runaway inflation, or a depreciated rupiah, and taxpayers are not leveraged (since the Bank Indonesia is part of the national government. Bank Indonesia can roll over on the bonds in perpetuity).
Stanley Fischer and Ben Bernanke have discussed money-financed fiscal programs.
But the orthodoxy is the US government must borrow, borrow and borrow more...
I especially like the sentiment, "Everyone is Wrong About Everything."
I do not know how germane this is, but inflation is dead or even deflation in China and Thailand, and getting there in Japan. Most of the world is in disinflation, and pretty strong.
There is this:
Today's CPI Data by Truflation
USA
The USA Inflation Rate by Truflation is 2.34%, -0.23% change over the last day. Read Methodology
https://truflation.com/
Also, why is it a sacrosanct premise that only commercial banks can expand the nation's money supply (due to the fractional reserve banking system, which evolved by happenstance)?
This makes real estate the de facto whipping boy or the exalted prince when it comes to managing monetary policy.
In the pandemic, Bank Indonesia just bought bonds directly from the government, to see that nation through that period. It worked, Indonesia does not have runaway inflation, or a depreciated rupiah, and taxpayers are not leveraged (since the Bank Indonesia is part of the national government. Bank Indonesia can roll over on the bonds in perpetuity).
Stanley Fischer and Ben Bernanke have discussed money-financed fiscal programs.
But the orthodoxy is the US government must borrow, borrow and borrow more...