On Thursday, December 16, 2021 at 10:40:58 PM UTC-5, bondi wrote:
On 16/12/2021 1:48 am, ltlee1 wrote:
"The White House continues to insist that inflation will soon fade away and the country will return to its pre-pandemic prosperity. But the Biden administration’s regulatory agenda virtually ensures that the post-pandemic economy will be nothing
like it was before. The mounting regulatory burden of Mr. Biden’s executive orders, his regulators’ open hostility toward America’s economic system, and the return to Progressive-era antitrust enforcement will stifle growth. All the ingredients
will be present to turn the current inflation into stagflation."
https://www.wsj.com/articles/the-biden-stagflation-is-coming-regulation-growth-inflation-build-back-better-khan-cordray-gensler-chopra-11639412593?
Following months of rising price, stagflation in US is going to be on a
long journey of 5 years.
At present, the Fed's response is relatively mild, three times next year. Probably between 0,75 to 1%. If inflation
persists, it would certainly raise interest rate faster and furious. Such action would contribute to stagflation,
at least for the short term.
But various economists have yet to include the negative impact of COVID-19 to the labor force and
labor participation rate. So far 800,000 have died and over 50 million had contracted the disease which
long term effects, physical and psychological, is not clear.
--- SoupGate-Win32 v1.05
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