Re:Federal Reserve raises rates by 0.75%
by kelnos on Wednesday June 15, 2022 @02:39PM
(#31757358)
I'm not convinced. I agree that Russia/Ukraine is not the main driver of inflation (certainly isn't helping, though), but I would look more toward supply chain shortages than money-printing. Prices go up when things are hard to find but the demand is still there -- not exactly grad-level econ.
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Re:Federal Reserve raises rates by 0.75%
by eastbound on Wednesday June 15, 2022 @03:33PM
(#31758218)
Fixing supply chain shortages? That sounds hard! I’d rather believe there is a big knob somewhere underground that drives the entire economy, and that we can adjust its basepoint to make people richer or poorer!
More seriously, Ukraine is probably not the reason of scarcity, but if you want to solve the supply chain, you’ll hit China very fast: Their growing local population means that one day, they’ll keep everything they produce for themselves. And that’s big enough to be the cause of inflation: Mid-term inflation is probably due to lack of productivity during Covid; long-term inflation is certainly due to the lack of goods produces in the West, while the East starts to keep their production.
Re:Federal Reserve raises rates by 0.75%
by whimsicalism on Wednesday June 15, 2022 @02:42PM
(#31757402)
To be fair, demand is up.