Observations and opinions. My opinion and $1 (it was 50 cents but I've adjusted for inflation) will get you a cup of really bad coffee.
Thursday, December 9, 2021
Inflation Creation - Thanks Fed & Company!!!
With the meddling Fed diddling with the price of credit for nearly two years via lowering the overnight rate to nearly zero and buying up $120 BILLLION in the securities market EACH AND EVERY FUCKING MONTH FOR NEARLY TWO FUCKING YEARS and the seemingly unlimited amount of Fed Fun Bucks injected into the economy via the CARES Act (enhanced unemployment, PPP loans for frauds, foreclosure moratoriums) is it really any wonder that we have the inflation problem of today? It is amazing that our prices are not higher. It will take more than just a few quarter point rate increases to bring this under control. It will take Paul Volcker style movement to bring inflation under control. Half measures as proposed by the current Fed Heads ain’t gonna cut it.
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