[Browns Ultra Fan]

Did The Fed and Biden drive us into a recession? Queue Biden. Schumer and Pelosi wanted to spend trillions more!

[SamAdams76]

How many will get the King Crimson reference here?

[wny]

Copper has intrinsic value. Bitcoin does not.

[P.O.E.]

IIRC, “Court of the Crimson King” had a section called “Dance of the Puppets”

[poinq]

OK maybe now people will notice that there is no inflation caused by easy money. Inflation is caused by energy prices going up and government subsidies for businesses going down. Most of the government subsidies are Chinese.

Over the past year the dollar has become stronger, not weaker. Its much stronger vs. the Yen, the Euro, The Canadian Dollar, gold, Crypto, Bonds and stocks. Its only energy and everything that requires energy to produce a product or bring that product to market that is causing inflation. But printing dollars is not a cause when the dollar is going up vs. everything else.

The one and only cause of this inflation is that oil is being denied to the western world. There are now huge supplies of oil trapped in Russia, Venezuela and Iran and under our very feet. The world has so much oil now that its price in 2020 was negative. Biden’s people are trying to stop it from getting to market.

[Bernard]

Is this a conspiracy to lower the inflation calculation in Q3 in order to minimize any increase in Social Security benefits in 2023? After all, most social security payments go to American citizens who earned the benefit during their working life.

[babble-on]

Inflation is the enemy right now. Fed policy, belatedly, is addressing inflation, and that accounts for the plunging commodity prices.

[Rockingham]

As a matter of economic policy, the escape from a recession prompted by monetary tightening is to reduce taxes and regulatory burdens. Such "supply side" measures generate additional goods and services that absorb excess monetary supply and reduce inflation. Under Reagan, these policies led to a dramatic economic revival and a reduction in inflation -- a combiantion that many economists in that era thought impossible.

Unfortunately, Biden's economic policies increase taxes and regulatory burdens and thereby constrain the supply side of the economy. This leaves Fed monetary tightening without any conterbalance in national economic policy, thus causing the economy to weaken as money is drawn out of the economy in order to reduce inflation. In time, the economy rebalances itself, but only after a wave of business failures and joblessness.