• maketotaldestr0i@lemm.eeOPM
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    6 months ago

    People fail to understand we are in fiscal dominance rather than monetary dominance now and interest rate increases wont throttle inflation. Interest rate increases can actually create inflation now because that money is printed and paid to bondholders who then use it in the actual economy therefore creating more money chasing the same amount of goods , therefore inflationary. this is like the 40s not the 70s.