obviously you don't want the gov controlling pricing.
It didn't work under Nixon. Wages and prices were frozen for a couple of years. We started to have product shortages. Then came the Arab oil embargo and all hell really broke loose, including gas rationing. We had Nam going full tilt and we went off the Gold Standard. Going off the GS was really what started things looking back. That is also when the first IOU's went into the Social Security Trust Fund. Money was taken out of the fund to help finance the war.
Or you could, you know, reign in the large part of the cost of living increases that is due to the grocery chains and other stores increasing profits
obviously you don't want the gov controlling pricing.
Retailers didnt need to be promotional during the pandemic, because consumers kept buying. ..no one forced the consumer to buy those bikes, golf clubs and all that apparel at those prices.
Regardless, the Feds actions are already started to slow profits/margins...through the slowing growth part of their agenda.
That's not really accurate.
Of course the role of raising is to slow growth...destroy some growth and inevitably some jobs. It's just the way our system works, and that is the right monetary policy when you are dealing with inflation at the levels we have/had. The reasons behind the inflation are many, including the jump the tight labor market and wage growth, as well as the stimulus, tax cuts, supply shortages, ukraine war, unwinding 4 decades of globalization...
Or you could, you know, reign in the large part of the cost of living increases that is due to the grocery chains and other stores increasing profits
That's not really accurate.
Of course the role of raising is to slow growth...destroy some growth and inevitably some jobs. It's just the way our system works, and that is the right monetary policy when you are dealing with inflation at the levels we have/had. The reasons behind the inflation are many, including the jump the tight labor market and wage growth, as well as the stimulus, tax cuts, supply shortages, ukraine war, unwinding 4 decades of globalization...
1970's tactics for a post-pandemic 2023 problem.
The Fed's long-standing belief is that a job market with strong hiring and increased wages typically fuels higher inflation. Under this economic model, consumers are more likely to spend freely when they have higher incomes, and companies tend to raise their prices to help cover climbing labor costs. Time. Feb 9, 2023
and Powell's zealot-like focus on raising rates made him blind to his regulatory duties. He was determined to push for job losses: bank gospel for dealing with inflation since the seventies. This round of inflation wasn't caused by grossly high wages; but several other linked causes. Powell's fervor to keep using an old solution to a new problem exploded right back in his face.
That's not really accurate.
Of course the role of raising is to slow growth...destroy some growth and inevitably some jobs. It's just the way our system works, and that is the right monetary policy when you are dealing with inflation at the levels we have/had. The reasons behind the inflation are many, including the jump the tight labor market and wage growth, as well as the stimulus, tax cuts, supply shortages, ukraine war, unwinding 4 decades of globalization...
To be clear, the gov and taxpayers didnt fund anything, at least not directly. The FDIC, which collects funds from banks, will cover the amount above the standard $250K insurance.
Indirectly, people will pay for it if you are bank shareholder or even depositor.
These failures were avoidable...whether through regulation, or simply more common sense by those who ran the banks...complete failure of internal risk management.
and Powell's zealot-like focus on raising rates made him blind to his regulatory duties. He was determined to push for job losses: bank gospel for dealing with inflation since the seventies. This round of inflation wasn't caused by grossly high wages; but several other linked causes. Powell's fervor to keep using an old solution to a new problem exploded right back in his face.
So you are saying Biden's massive influx of money to depositors with accounts above the federally insured amount was a bad idea. Hmm. That's literally spending our way out of their bankruptcy. I mean I don't really like it either because all banks should be contributing more to insuring things don't go pear shaped but here we are. I'm kind of fond of the money I've saved in my retirement account, most of which is invested so I'd rather not see the financial system collapse. I'm also fond of other people having enough money to retire, but maybe whatever individual situation you are in makes you think differently.
To be clear, the gov and taxpayers didnt fund anything, at least not directly. The FDIC, which collects funds from banks, will cover the amount above the standard $250K insurance.
Indirectly, people will pay for it if you are bank shareholder or even depositor.
These failures were avoidable...whether through regulation, or simply more common sense by those who ran the banks...complete failure of internal risk management.
No reason to worry, Biden is in charge ! His policy is to "spend our way out of bankruptcy"
Besides, you more than most know that Climate Change is the biggest and most immediate danger to life as we know it. Everything else takes a back seat to saving the planet.
So you are saying Biden's massive influx of money to depositors with accounts above the federally insured amount was a bad idea. Hmm. That's literally spending our way out of their bankruptcy. I mean I don't really like it either because all banks should be contributing more to insuring things don't go pear shaped but here we are. I'm kind of fond of the money I've saved in my retirement account, most of which is invested so I'd rather not see the financial system collapse. I'm also fond of other people having enough money to retire, but maybe whatever individual situation you are in makes you think differently.
