[UncleEntity]

> I think 2008 was spectacularly smooth with respect to inflation/deflation because they allowed enough banks to fail.

They also started paying interest on excess reserves held at the Fed as they printed up a bunch of money to recapitalize the banks so as to not end up creating trillions of dollars of new money.

This time they injected trillions of dollars directly into the economy (hello, Helicopter Ben) and are now dealing with the effects. All that cash caused a huge bubble in Silicon Valley because people had nothing to do for quite a while except buy and consume stuff off the interwebs.

Now we have the correction for the Covid stimulus spending.