The combination of reckless spending and Fed intervention
Posted on: July 13, 2022 at 08:32:08 CT
4TigersinMichigan MU
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is why we find ourselves where we do. Eventually you pay the piper for spending money you don't have, and then doubling down but flooding the market with money to suppress the impact of other bad decisions.
We know the wrong response is more flooding of the market with money. The first massive stimulus was bad policy. The latest one even more so as inflation was already starting to be felt. This was fuel on the fire. Some will say the answer is "end government". That is a meaningless line unless you can show a path to actually achieving it. Some will say "you supported stimulus", a lie which has been repeatedly disproven but those of low character don't really concern themselves with truth.
The era of free money must be over. There will be pain. It is the pain of a long binge. Hopefully the response is not doubling down on what we know won't work.