No it hasn’t crashed. Perhaps I was being dramatic for effect. But they wanted to reduce inflation. The fed only has a couple of tools to work with so they are trying to cool demand. The proper way to reduce inflation is to create more competition and greater supply of goods and services. We’ve been moving in the wrong direction on that for decades in just about every economic sector. The bulk of the problem is political and regulatory.
I agree. The Fed, as you say, has a limited toolbox. Thus far they’ve done a pretty fair job of applying the brakes. Clearly our elected officials have failed abjectly.