| > No one can seriously defend MMT now after central bank monetary policies during the pandemic led to inflation everywhere. Central bank monetary policy did not lead to the current inflation, just like it did not lead to inflation in the post-GFC era. Unlike what some folks predicted back then: > We believe the Federal Reserve's large-scale asset purchase plan (so-called "quantitative easing") should be reconsidered and discontinued. We do not believe such a plan is necessary or advisable under current circumstances. The planned asset purchases risk currency debasement and inflation, and we do not think they will achieve the Fed's objective of promoting employment. * https://economics21.org/html/open-letter-ben-bernanke-287.ht... At least per the SF Fed's research, about half of the current situation in the US is/was supply-side issues, and about a third is the demand side of things: * https://www.frbsf.org/economic-research/publications/economi... The demand side was mostly driven by fiscal stimulus. The commodities chaos caused by recent geopolitical events kind of threw a wrench into most predictions. |