This “inflation” is different: New Stiglitz just dropped.
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This “inflation” is different (permalink)
Here’s the inflation story you’re expected to believe (advance warning: this story is entirely false): America gave the poors too much money during the lockdown and now the economy is awash in free money, which made those poors so rich that now they’re refusing to work, which means the economy isn’t making anything anymore. With all that extra money and all those missing workers, prices are skyrocketing.
To hear ghouls like Lawrence Summers tell it, there is only one answer to this. We have to immiserate the poors: jack up interest rates, kick off a recession, destroy millions of jobs, until the poors are stripped of their underserved fortunes, and, humbled, they return to their labors:
As noted: this