Posted on 05/11/2022 9:48:57 AM PDT by ChicagoConservative27
Economist Ezra Solomon once observed that the “only function of economic forecasting is to make astrology look respectable.” Historically, economists have had a terrible track record when it comes to making growth forecasts.
The Federal Reserve (Fed) during the 2007-2016 period had a tendency to persistently overestimate future GDP growth. After correcting for this tendency in the recent past, Fed officials found themselves making a new set of costly forecasting errors during the past year. They persistently underestimated inflation.
(Excerpt) Read more at thehill.com ...
When people have to pay $6 for a pound of ground beef and $5 for a gallon of gas, the economy has to slow down.
With inflation cutting back on everyone’s spending abilities I would say it is already here. Tick tock tick tock.
Yes, a recession is coming. Is needed. That’s how inflation is reduced, by reducing demand.
Reagan
+1
It’s recession if your neighbor is out of work. It’s a depression when you lose your job.
It’s a saying that goes back a lot longer than Rush.
Ronald Reagan.
Look up the quote.
Unfortunately it pertains today, just like back in Jimmah Certer’s day.
5.56mm
Old saying—economists have successfully predicted twelve of the last three recessions. This one, though, seems like a no brainer.
IDK who you think “they” is, but if it’s the fed, they are about out of gas. In the 70s it was stagnation and inflation. The cure was painful for awhile, but Reagan had the leadership skill to “hold the course” and it worked. The biden regime has no such legitimacy or character. There is no “course” to hold, with this bunch of banjo hitters.
That was it. In my defense I was 9 years old when Reagan won.
Yep.
——waiting so long to act..-——
Is it waiting if he lacks the raw political power to do anything? He has no legislative branch tool. All Biden has is executive orders which are struck down before they can take effect.
Worse, he is losing in the courts for Republican state law suits finally making it to the top and decided against progressive aims.
He has from nowhere a strong political foe in the person of Elon Musk challenging his actions with words and then buying Twitter and exhibiting actual deeds. Musk did not take lightly the slap in the face of not being invited to the presidential meeting with EV manufacturers all of whom attended were UAW employers.
The only thing he can really do is use federal funds to reward those entities that turned out to vote.
Im not sure how much political clout it wouldve taken to pressure the Fed to raise rates a year ago...but near zero rates are addictive to the left...they cannot help themselves....like crack....right to rock bottom, then they realize-we need to do something...too late.
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