Crash the train to stop it

[finnbow]

Originally Posted by whell

Yes, they're inter-related, deficit becomes debt, all good. Powell's presumed course of action - increase rates to drive down spending and thus drive down employment thus curb inflation involves increasing rates on debt, and has no short term effect on deficits (except to the extent that budgeted dollars are consumed retiring debt or paying interest on the debt). Which is why I was wondering why you were bringing up deficits.

Interest rates are the only tool in the Fed toolbox. Bitching about them using rate hikes to battle inflation is like criticizing a Marine rifleman for using his rifle.

[whell]

Originally Posted by finnbow

Interest rates are the only tool in the Fed toolbox. Bitching about them using rate hikes to battle inflation is like criticizing a Marine rifleman for using his rifle.

So you’ll have no criticism at all when the recession and high unemployment the Powell is predicting comes to pass. Ok, noted.

https://fortune.com/2022/09/22/jerom...t-landing/amp/

[finnbow]

Originally Posted by whell

So you’ll have no criticism at all when the recession and high unemployment the Powell is predicting comes to pass. Ok, noted.

https://fortune.com/2022/09/22/jerom...t-landing/amp/

Where exactly did I say that? I simply stated that interest rates are the Fed's only weapon, a verifiable fact (something you seemingly have trouble with).

[whell]

Originally Posted by finnbow

Where exactly did I say that? I simply stated that interest rates are the Fed's only weapon, a verifiable fact (something you seemingly have trouble with).

You have memory issues? You said it in post 14:

"Interest rates are the only tool in the Fed toolbox. Bitching about them using rate hikes to battle inflation is like criticizing a Marine rifleman for using his rifle."

So, no bitching or criticism from you.