^ You do recognize that for basically the last decade the issue was deflation and not inflation though, right? Like it's easy to look back and criticize this in hindsight, knowing that Russia invades Ukraine and supply issues persist. How many people had that on their card at this time last year? Basically no one.
And history doesn't repeat in one important area. Powell has made a number of references to 1974. That was important because the fed had hiked rates and inflation came down...but as soon as they cut rates it spiked again and we faced a decade of inflationary pressures. They are well aware of that lesson, and I don't think that they repeat that mistake again.
|