Posted on 09/01/2022 1:31:22 PM PDT by 1Old Pro
Diane Swonk, the chief economist at KPMG, told Bloomberg that in her mind, these comments signal that the Fed has given up on its hopes for a “soft landing,” and now recognizes a “growth recession” is necessary to reduce inflation meaning the Fed will need to slow economic growth to well below its potential.
“It’s a bit like dripping water torture,” she said. “It is a torturous process but less torturous and less painful than an abrupt recession.”
(Excerpt) Read more at msn.com ...
I wonder how many folks have come out of retirement due to this joke of an administration
James or municipal bonds?
Or heavy anvil.
“Name one time in history there has been a “soft landing” of an inflationary economy the likes we are experiencing.”
Define “soft landing”.
Interest rates should be over 10% to effect any inflation.
The problem they have..is what to do with the interest payments on the national debt if they raise it that much.
“I look forward to having my chocolate ration increased to 20 grams”.
The beatings will continue until morale improves.
Subtract trillions of $$$ in “stimulus” (welfare), QE and deficit spending that went into equities and the Dow should be around 22,800...we have a lot of room on the downside.
Build back better in effect people, you don’t want it we will shove it up your a##
But, but this is impossible. Biden said we would not have a recession and inflation is under control./s
no recession https://www.nytimes.com/2022/07/27/business/biden-recession-us-economy.html
no inflation https://nypost.com/2022/08/10/biden-wh-claims-us-has-zero-inflation-despite-high-rate/
What a play on words. More manipulation and propaganda.
Nothing from here will be normal because the whole scheme has changed.
Growth recession, my sweet Aunt Fanny’s ass.
They have screwed the pooch and are now looking for cover.
Fed just making everything worse.
2+2=5 and down with Eastasia during this week of hate!
The problem they have..is what to do with the interest payments on the national debt if they raise it that much.
You are correct. If Biden and Congress don't rein in spending (balanced budget would be best) then the Fed will have to take the blame for raising rates high enough to end inflation and to counter the deficits at the same time.
That's what Reagan and Volcker had to overcome, too. Interest rates ended up near 20%. This Fed is too scared to go there. We end up with stagflation.
IMO..and you and I agree..IMHO, I think prices continue to rise even though they try and reign in inflation.
We got way to many factors at play here. The most important is the denial of letting the energy sector loose to produce the products needed to lower costs and ultimately drop prices.
Time will tell.
Or government accountability
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