Thursday, January 12, 2023

Team Transitory For The Win

I knew we'd be proved (mostly) fucking right. Short version: We turned the world economy off and then on again, so of course there would be some rigidities and bottlenecks leading to cost/price hikes. This was not a story of "too much money sloshing around," as high corporate profits paired with moderate wage gains showed this was also a consequence of corporations flexing their market power opportunistically. Because of this, contractionary monetary policy will do harm for no (good) reason.

I guess there was a reason, and that is despite all the rhetoric about JERB CREATION, the powers that be absolutely hate full employment. Never have to wonder if that is a conspiracy theory again!