As you may have noticed, the Internet is all in a tither about runaway inflation. Brian opines on what's up.
Bond EconomicsSlicing And Dicing The CPI
Brian Romanchuk
As you may have noticed, the Internet is all in a tither about runaway inflation. Brian opines on what's up.
Bond Economics
3 comments:
The problem with the "inflation" obsession is the same as the obsession with the "national debt". Both are belief totems which we reinforce by publishing a completely meaningless and unconnected figure every month.
The purpose of both of them is to maintain the vice like grip of neoliberalism and the current distribution of resources.
It used to be balance of trade, but we rarely see that mentioned these days - even though it was a daily obsession 50 years ago.
If the price of something goes up, then that is the market allocating scare resources and inviting more production - which will eventually force the price back down again. *That also applies on the labour side with skilled workers*, as anybody involved in the IT boom can testify.
For some reason humans can't get their head around this dynamic process. Whether that is natural or the result of brainwashing is difficult to say.
We have laws Neil… Federal Reserve Act has “maximum employment with stable prices” and the Congress has to authorize the issuance of additional Treasury securities the debt ceiling was created under the Second Liberty Bond Act of 1917…
It’s not to “maintain the vice grip” that is figurative language….
https://en.m.wikipedia.org/wiki/Neoliberalism
“ As an economic philosophy, neoliberalism emerged among European liberal scholars in the 1930s”
How can operating under a law passed in 1917 be related to something invented in the 1930s?
It can’t…
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