Ok, so you’re not differentiating between stimulus and safety programs like in Europe that kept people from being laid off. To you this is all stimulus. That’s kind of an odd place to be in because you’re essentially advocating for a depression without any stabilization measures.
Fiscal stimulus. That's the difference this time vs. all times previous with monetary stimulus. Fiscal finds its way into the greater economy. Giving people money, passing policy that forgoes debt payments (rent, student loans, etc) and essentially giving them a defacto UBI causes inflation. Couple this with shutting down the services side of the economy so people don't spend on trips, air travel, concerts, etc and locking them in their home so all they do is buy things and yeah, shortages. Too much money chasing too few goods. Textbook inflation. Its actually very simple. I'm surprised someone of your self-described expertise in all things economics is arguing against this.
This is funny, but not unexpected from the politicians we've elected in this world. Betcha Biden is looking hard at it.
It’s not very simple, at all. You’re arguing demand increases and I pointed out that is not true in the euro zone. The euros actually saw decreased consumption. You move past points that don’t compute with your priors as if they don’t exist. As to “classic” models of monetary supply based inflation, money is not moving through the economy at a speed that would create inflation: https://corporatefinanceinstitute.com/resources/knowledge/economics/velocity-of-circulation/ I get you have opinions and things make sense in your mind but we have ways of measuring where inflation is coming from and money supply is not showing up right now. And to you trying jab me as portraying myself as an expert, I’m not, but I do have a business degree and a graduate degree and both included economics courses. So yes, I do have some education in economics. I’m not an economist but I do know how to read the basics. It can also be said that you yourself are trying to be as much of an expert as I am just by giving your opinion but the difference between me and you is I back my opinion up with the data whereas you do not. And you don’t because the data doesn’t back up your opinion.
Oh definitely. I talked about this quite a while back. People were posting about how inflation was going to kill the dems at the polls and I said that most likely they would put a huge give-away inflation "relief" bill up for consideration right before the election so that the only way that you got your free stuff was to vote for the dems. Nevermind that that "relief bill" would also be inflationary. They will also try to repackage that 3.5 million "build more bullshit back better" bill as an inflation-Putin-relief bill. They dont really care what funds go toward or what it is called, they just want something to dangle in front of voters.
Just so we're clear, you're saying here that because the Velocity of M2 Money Stock that you got from the STLF is dropping, inflation isn't caused by spending. Is that your base argument? I just want to make sure I understand before I respond. Because you tend to get slippery when I answer and then go down other rabbit holes and its difficult to have a discussion as you do. Remember, this started when you said "Biden was correct" in his tweet that said "You want to stop inflation? Make corporations pay their fair share in taxes". That, by the way, you still haven't fully closed the loop on after I've asked you multiple times.
Yes. Velocity of money would indicate monetary based inflation. See the link I provided. No. I did not say Biden is correct, I said that the theory is a dollar out is a dollar out so theoretically if you believe raising the Fed rate would dampen consumption thus reducing inflation then it’s the same principle. My argument with you about that was it was not a failure of “quality control” by some staffer, but rather a theory to combat inflation.
Biden said if you want to combat inflation, make corporations pay their fair share of taxes. You then said: So before we get to M2 (and I definitely want to), can you clarify that this is not the same thing, and that you now agree that Biden's tweet was not correct?