Reply to I genuinely don't understand these rate hikes

Forum Index » Money and Finances

Reply to "I genuinely don't understand these rate hikes"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]How do you not understand multiple-trillion dollars stimuli + expansion of money supply by almost double + a bloated Fed balance sheet that grew to the size of $9,000,000,000,000?

Put down the CNN/partisan talking points and look at the common sense numbers. Maybe, just maybe there was too much money, liquidity, and access to easy money in the system?  Supply is out of whack not only due to supply side issues, but also because demand is so strong even in the face of those supply side issues due to far too much money in the system.

You thought those multiple rounds of trillion dollar plus stimuli had no consequences?[/quote]

This. The jig is up. I was so angry when they were giving out free money like candy. It's payback time. How people could not see this coming is beyond me.[/quote]

Many of those people would have suffered without that money. A lot of suffering. And no one argues that that money didn't force all an immediate recession.

Your choices are recession or inflation. The stimulus only contributes a couple percentage points to current inflation. The rest is global. Further, inflation will generally resolve easier than a recession will.

Sorry you were angry that the government had to make choices to help its citizens[/quote]

Without those COVID measures, which included billions of free money for businesses, it wouldn't have been a recession it would have been a full on global depression and deflationary spiral.  That was the choice.  Deflation or inflation.[/quote]

Alternatively we could have not taken covid measures that in hindsight accomplished very little.  [/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics