Normally, inflation is 1:1 related to interest rates. We take on a ton of debt or print currency, then to hedge the inflation, we force the interest rate down to counter inflation by encouraging lending.
Problem - interest rates are not possible to lower now, without having a negative interest rate (which will cause investment to flee the country). Now money's value has nowhere to go but down.
Now it looks like they changed the definition of the M1 money stock in April 2020 to include savings accounts and money market accounts.
In reality we been doing this since 2008.
Normally, inflation is 1:1 related to interest rates. We take on a ton of debt or print currency, then to hedge the inflation, we force the interest rate down to counter inflation by encouraging lending.
Problem - interest rates are not possible to lower now, without having a negative interest rate (which will cause investment to flee the country). Now money's value has nowhere to go but down.
How fiscally responsible of Trump.
So the Republicans are responsible for the budget deficit under Obama?
Trump scolded Republicans for not spending more.
Wrong. When the Democrats suggested a $2.2 trillion package he said that it's not enough, live on the Rush Limbaugh show.
https://www.youtube.com/watch?v=UjcAVhBfP-Q