The Genie Is Out of the Bottle

Check out the accompanying pdf and chart collection. (1) Inflation is turning out to be both pesky and persistent. (2) Powell’s latest pivot. (3) Blaming supply-chain disruptions for inflation rather than excessively stimulative fiscal and monetary policies. (4) FOMC consensus expects inflation to drop close to 2% next year. (5) We expect FOMC will raise inflation target from 2% to 3% next year. (6) Inflation blast from the past: COLAs are back already. (7) Regional price indexes remain inflated. (8) Are inflationary expectations really “well anchored” at 2%? (9) Average inflation targeting is a bad idea. (10) Movie review: “Dopesick” (+ + +).