shmmeee
Well-Known Member
No, It’s great that GDP has been higher in the short term and that unemployment has remained low. It’s just the potential ‘cost’ of this
My point has always been that if you have to print more to achieve this, it debases the currency and can cause inflation. Ultimately this costs everyone and usually the poorest the most (inflation and/or debasing a currency is probably the least progressive form of ‘taxation’)
As I was saying to shmmeee, you can’t knock US recent economic performance, it’s been head and shoulders the strongest around. However, gdp is now slowing a bit and unemployment is creeping up, so has the last three years been a short term shot in the arm or a more longer term structural improvement. Only time will tell
ps still better than trump who probably would’ve borrowed/printed more to cut taxes for the richest.
I think there’s two separate economic interventions here. The stimulus Trump and Biden put in was a short term shot in the arm and even its inflationary effect is hard to disentangle from general Covid and Ukraine based inflation.
But that’s just basic emergency economics IMO. What’s impressed me economically about Biden is he’s done what the rust belt have been claiming they want for decades. Manufacturing brought back, proper investment in supply chains for key industries that were rapidly heading to Asia, wage growth for those at the bottom. Thats the stuff that gives me confidence in the US going forwards.