[lurk]

We pumped five trillion Nancybucks into the economy over the last three years. No way we’ve metabolized all that.

[fhayek]

I think that the idea is that because we ballooned the money supply so rapidly in the Covid years, we now have to contract the money supply now to make up for it. I think that we are in uncharted territory, but I think that is the general strategy.

To combat inflation, you do need to synchronize the money supply with the amount of goods and service being produced. No way that it can be done without pain. I advocated a 'tear the bandaid off quickly' approach. Loan about $750 billion to Argentina, and wait for the inevitable default. Yeah, that's why they will never let me near any of the levers of power...