Regarding the inflation forecast debate, I add my view:
Whether double digit or high single digit inflation is coming or more moderate rounding to 4 or more per cent per year compounding inflation is coming, it is still criminally reckless negligencebeing committed by our policy makers in my view. (With blame going back to the voters.)
In my view the "2% inflation target should be 0.2%. The 2% target that hits actual averages close to 4% long term is destroying our currency and destroying our country.
"During the observation period from 1960 to 2022, the average inflation rate was 3.8% per year. Overall, the price increase was 903.96%."
https://www.worlddata.info/america/usa/inflation-rates.php#:~:text=During%20the%20observation%20period%20from,the%20price%20increase%20was%20903.96%25.
The Fed is enabling the Confessional spenders.
Under what economic theory can we spend 40% more than we take in, only getting worse, borrow and or print the difference, interest costs going up exponentially, and this has a 'soft landing'? How? Where? When?
I realise they are only forecasting this calendar year, but this calendar year, other than an election, includes no long term course correction. And the promises being made in the election preclude a major course correction after.
What I'm asking is, what part of unsustainable don't the experts, even on our side, not understand?
Or am I wrong, 'everything is fine Doug'.
