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Reply to "Why can't Fed officials tell us to stop fantasizing about 2% inflation?"
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[quote=Anonymous][quote=Anonymous]Why can't Fed officials tell us to stop fantasizing about 2% inflation? We are never going back to sub 3% ever again. Why can't they make 3% the new target? Is it because of the implications for social security? [/quote] They could make 3 percent the new target. There are no real implications for social security- as social security is adjusted by the inflation rate it doesn’t matter what the rate is. The reason that they don’t is that there is no reason to believe that inflation won’t get back dowm to 2 percent. Remember pre-2020? Nothing structural has changed. If we stopped doing crazy wars and crazy tariffs we might have been there now.[/quote]
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