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Squeal like a ‘tater!

Third, the right question to ask now is whether a 2% inflation target is reasonable for the next two or three years as spending power is restored. Wouldn’t a year at 4% and two more at 3% make sense in that case? And then decide if 2% might ever make sense again, I suggest. Underlying economic factors might suggest it does not.

MMT doesn’t cause inflation but let’s raise the inflation target so that we can use MMT!

There’s also this idiocy.

It should actually say ‘should’, because people will need to recover their purchasing power.

He’s saying that inflation should be higher so that people can recover their purchasing power. But inflation is that difference between nominal GDP (if we want to use GDP accounting here) and real GDP. Real GDP is real incomes, by definition. Thus inflation is, again by definition, that change in nominal prices which doesn’t get reflected in purchasing power rises.

He’s just said we should all gain weight by eating less food.

5 thoughts on “Squeal like a ‘tater!”

  1. Ah, but Ritchie believes it was never yours to begin with. It was always the Courageous State’s, until it deigned not to tax it all and let you have some.

  2. Thanks a lot Tim…

    I just got a picture of Murphy as Ned Beatty in Deliverance.

    Fair gied me the dry boak.

  3. I may have said it many times before, but the frightening thing about Spud’s idiocies is that some of his followers actually think he knows what he’s talking about. Dangerously misdirected by the oaf: I hope they don’t put their money anywhere near where he suggests.

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