Posted on 10/31/2022 3:29:56 AM PDT by tanstaafl.72555
The Federal Reserve is most likely going to raise interest rates by three quarters of a percentage point again on Wednesday, its fourth straight supersized hike. And it’s still possible another rate increase of that magnitude could come in December.
But the big question for many investors – and American consumers – is whether the Fed will send the economy into a recession with these massive rate increases.
There are hopes that any downturn would be mild, but this is uncharted territory for the Fed. Former central bank chairs Alan Greenspan, Ben Bernanke and current Treasury Secretary Janet Yellen never had to raise rates this many times in a row by such large amounts.
(Excerpt) Read more at edition.cnn.com ...
The Fed is going to talk tough right up until the moment they are forced to pivot just like Japan and the Bank of England.
“right now, we’ve got too few goods”
We have plenty of goods if all the population got really poor and then couldn’t afford to buy anything....
See how it works?
Actually, EVERY state has a child support system.
Blow up the economy to get inflation under control.
Not much left to blow up but when all else fails make another guess.
Where? I can't find it.
“If we went back and calc’d price inflation the way they did in the 70’s it would be up around 19% which would require interest rates AT LEAST 15% or better. We simply cannot do that... and everyone knows it.”
The old rule of thumb (Taylor Rule) is that interest rates need to be 1.5x the inflation rate get it under control. That would be very painful.
If you are willing to throw the most vulnerabe economically unber the bus. I AM NOT. WE CAN STOP INFALTION BUT DO IT IN A SANE MANNER.
The War on Energy is a big part of the permanent inflation as well.
“Where? I can’t find it.”
Happy to help...
https://freerepublic.com/focus/f-news/4102532/posts
https://freerepublic.com/focus/f-news/4101968/posts
https://freerepublic.com/focus/f-bloggers/4101938/posts
https://freerepublic.com/focus/f-news/4101084/posts
https://freerepublic.com/focus/f-chat/4085012/posts
https://freerepublic.com/focus/f-news/4068602/posts
https://freerepublic.com/focus/f-news/4068353/posts
https://freerepublic.com/focus/f-news/4067988/posts
“sane manner”
That reminds me of the spaceship captain in the old science fiction film “Black Hole”....
He maneuvered all around the event horizon—some of them were very clever moves...
But of course we all know how the movie ends....
First, they stop giving away money hand over fist to lost causes. Second, stop trying to buy votes for the mid terms.
Ask Joe..,,,,
We're about to experience the INEVITABLE.
The only HOPE I can see is that God either SAVES the SHIP.. or SOFTENS the BLOW!
The Fed isn't going to send us into a recession, that's on Biden and the Dems. The Fed is trying to make it less severe. We are already in a recession - media trying to blame the expansion of the recession in 2023 on the Fed - sneaky and corrupt.
The only good thing about hyperinflation is the debt in constant real dollars will not be as horrific. Of course, a loaf of bread will cost $100, or more.
I’m stocking up now on canned food, water, and biscuits. Boxed cereal too, which can last for several years unopened. I don’t want to starve right away.
But typical of the DNC’s public relations dept. Aka news media.
[CNN: Fed may have to blow up the economy to get inflation under control]
Yeah, makes perfect sense. Depression II thanks to Brandon.
Yep. I’ve been thinking the same thing.
The sheep will be too stupid to figure it out.
As usual.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.