Quote:
Originally Posted by Tyrone Slothrop
There's a trade-off between inflation and unemployment. Higher inflation, more people working. The Fed is supposed to balance these goals. Except that it doesn't -- it's under the influence of bankers who think, simply, inflation is always bad and less is good. Hyperinflation is, of course, bad. That is not our problem right now. QE is aimed at getting the economy going.
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Or if one prefers there is a trade off between inflation and growth (doing that stating differently thing again).
One way of looking at thing is that there is greater incentive to buy things today if they are going to coat more in the future; and greater incentive to put off buying things if they are going to coat less in the future.
