Surprising that this is simply not on the public's radar. Like that IBD editorial thread about the energy inflation blamed on Obama. Reality is that there hasn't been energy inflation. Sure, by itself (like the Economist pointed out) a drop in oil prices should be beneficial, but since Sept. '08 the total money supply's only grown by just $4T, and folks on these threads want the Fed to dump all those 'bail-out' assets bought w/ 'printed money'. We're talking about a $4.4T cut, and that means the money supply contracts.
Sure, we like to think policy makers couldn't be so amazingly stupid but I'm reluctant to underestimate the power of an overwhelming populist clamor on officials that should know better.
It’s not just people on these threads. A lot of republicans think that QE is “printing money” and therefore is inflationary. All anyone has to do is look back at 1937-38 to see what happens if you tighten too soon and too quickly.
Most people do not understand monetary policy. Both the DEMAND and the supply side.