“Inflationary pressures of a kind we have not seen in a generation”: Warnings brushed aside in pursuit of $1.9 trillion plan for full employment
Anyone who shops in the grocery store regularly (like your editor) can feel it already, even without this new legislation.
What nobody expects is stagflation. (A weak economy with consumer price inflation.)
(From The Washington Examiner)
Those fears are driven primarily by concerns that the amount of money being pumped into the economy between the CARES Act, Biden’s $1.9 trillion recovery package, and a dramatic increase in savings spent will create a potential surplus demand that is roughly 4 times the size of the economic hole created by the pandemic.
But other economists remain unconvinced. Boussour said that the evidence from the last recovery and economic expansion suggests that even with Biden’s proposal, inflation will likely not be an issue.
This article was originally posted here: https://www.ac2news.com/2021/02/inflationary-pressures-of-a-kind-we-have-not-seen-in-a-generation-warnings-brushed-aside-in-pursuit-of-1-9-trillion-plan-for-full-employment/.
