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There isn't much Fed can do on interest rate, which has to stay above inflation rate, so they reduce QT to provide stimulus. This only makes inflation higher for longer. What's their intension behind this move? Helping Biden win the election? Fed to slow pace of quantitative tightening starting...

I support a balanced budget instead of deficit. Since the debt situation has become so bad, a balanced budget coupled with moderately high inflation seems a reasonable solution.

I forgot to mention the mileage. If you drive 10,000 miles a year, I would recommend an EV. If you drive only a couple thousand miles a year, an ICE car is better. Because after 15 years, the ICE engine will be like new but the EV battery will be dead.

My biggest concern of EV is battery replacement. The battery life is about 15 years. If you want to keep your car longer that, adding the cost of replacing the battery once, EV is not a good deal even with $7500 tax credit.

If California had no minimum wage, there would be more demands/jobs but low wage workers would be poorer. The good measurement should be unemployment rate. If it doesn't go up too much under the new law, it should be fine.

Can you explain why QE won't cause inflation? Please explain it in simple terms so that an average person can understand.

I don't mind your harshness. I think you didn't read all my posts. My standing on this issue is kind of in the middle. Under current circumstance, a simple Yes or No can not be the solution.

QE is actually abusing money printing power to screw up currency holders. But they won't accept the abuse forever, they can choose gold over USD as reserve. That's why Fed is fighting inflation through QT: https://www.federalreserve.gov/monetarypolicy/bst_recenttrends.htm How far they...

You said "Unlike fiat" first, then "The exact same". Can you explain?

Gold standard is the best in theory. As long as USD can maintain its reserve status, it doesn't have to go to gold standard if it is too expensive.

Under gold standard, the gold content of a currency is determined by the government and can be adjusted at any time. The currency can still be devalued by the government. A gold-based currency is better than fiat, which is based on nothing. If Fed wants a massive QE under gold standard, it has...

---------------Pre-Covid Now Gold Price $1500 $2400 National Debt 23T 34T The debt has actually decreased since Covid if measured in gold. You see the awesome power of inflation on debt.

Too late. We can go to gold standard after the national debt is inflated away. Otherwise paying the debt in gold would deplete US gold reserve.

I also have these questions in my mind. If things don't change, the young generation will stay in poverty.

No. I think real wealth should be created though work, not from government. If people get their wealth through financial stimulus or excessive tax cut, they should give it back through inflation. That's fair.

Given the astonishing growth rate of our national debt, I don't see any solution other than high inflation. Young people need big wage increase to afford homes whose prices have been inflated by stimulus monetary and fiscal policy for over a decade. As more young people join the work force, wage...

IMHO the answer is no, as long as it's not too bad(single digit). US government needs inflation to inflate away the huge national debt. The young generation need wage inflation to close the wealth gap with the old generation, if asset prices don't go up as fast as wages. USD won't lose reserve...

If you want to withdraw at any time, Ally Bank's money market offers 4%.

Compared to aggressive rate hike, QT so far is moderate.

In this fighting of inflation, Fed is still kicking the can down the road by not doing QT. Fed balance sheet has increased from 1T to 8T since 2008, while US GDP has only increased from 15T to 23T in the same period. It seems impossilbe for me that they can fight inflation by only rasing...