[pibechorro]

Because doubling the amount of dollars in the past year or so is not at all worrying for "transitory" inflation. Dont be naive, it's coming. The politicians have kicked the can down the road for decades and had they not bailed out the bigs in 2008 and during this past 2 years we would be bankrupt. Its a house of cards. They are going to push us into a war to escape the inevitable.

[imtringued]

Governments go to war to stop deflation, not inflation.

As you lower the interest rate below liquidity preference people will simply hold onto their money because they are speculating on higher interest rates.

[notch656a]

No no no! You see velocity of money has decreased and productive output has increased. People don't like to spend the new money. Therefore inflation is low, do not be fooled by the Austrian tricksters suggesting otherwise.

[imtringued]

You mean the monetarist tricksters. They assume the velocity is constant.