Hard to get 'inflation down' without causing a recession, Harvard economist warns

Fox business ^ | 05/13/2022 | Stephanie Giang-Paunon

[ChicagoConservative27]

Harvard University economics professor Kenneth Rogoff warned on Friday that it will be "really hard" to get the "inflation rate down" without causing a recession.

If [the Fed] have to raise interest rates that much, it will cause a recession, no doubt," Rogoff told "Cavuto: Coast to Coast."

"I don't think they'll go that far. My best guess is they fall short. They raise interest rates to 3-3.5, and we're left with a very soft economy and still inflation."

[ChicagoConservative27]

I logged into my Fidelity account today and couldn't believe what I was looking at. Down big time

[fhayek]

No free lunch. You must somehow rebalance money with output. Increasing output? Lower taxes and regulations. Decrease money? Higher rates, quantitative "tightening".

You paint yourself into a corner, don't blame Sherwin Williams...

[Captain Beyond]

Gaslighting is a hell of a drug.

[KC_Conspirator]

Yeah, thats pretty much across the board.

[Rebelbase]

[for-q-clinton]

Recession is here. Time to rip off the bandaid and set interest rates at >10%.

[ground_fog]

They want more lockdowns bad. They are planning something evil for sure

[NWFree]

Too bad Cavuto didn’t join CNN streaming too 🤪

[Chode]

possibly other than oil, prices are never going down...

[Fungi]

It’s easy. Stop deficit spending and balance the budget, go even further by eliminating worthless government agencies. Start with the EPA, the Education Department, the Commerce Department, Midnight Basketball, WIC, and every other government bureaucracy that make laws without the consent of congress and whose only existence is to perpetuate its existence, Stop base line budgeting which is a permanent trigger for ever increasing spending..This must stop ....

[PeterPrinciple]

This must stop ..

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It will when the money runs out, and not before....................

[Fungi]

The money will never run out as long as we have a “Federal Reserve” which is not a federal agency and not “reserve” in any sence on the word.They print money out of thin air and charge us interest for the "privilege."

[PeterPrinciple]

The money will never run out as long as we have a “Federal Reserve”

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Don’t kid your self. it will run out. They question is how.

[Brian Griffin]

Easy to whip inflation: set corporate tax rates at 90% if inflation exceeded 3% annually in any previous five year period. Ditto for personal income over $1 million annually. Bar dividend payouts and stock buybacks until the control condition is met.

[Bubba_Leroy]

To stop Jimmy Carter’s inflation, the Fed had to raise interest rates all the way to 18%. The U.S. economy is now too dependent on very low rates. Raising rates anywhere near high enough to stop Biden’s inflation would crash the economy. So the Fed will only raise rates high enough to guarantee stagflation.

[Pearls Before Swine]

I logged into my Fidelity account today and couldn't believe what I was looking at.

Bargains everywhere!