Economy

peppertree

(22,850 posts)

4. I hear you

Wed Apr 12, 2023, 02:58 PM

Apr 2023

But if unemployment begins to escalate (say, to 2% or more above current levels), his goose is cooked.

And remember that it took 10%+ unemployment to bring down inflation after the 1979/80 and the (grossly underreported) 2005/08 price bubbles.

More, if you count the newly discouraged - who always add up to millions during severe recessions.

If, on the other hand, we manage to keep inflation hovering around 5/6% or so - but with full employment - Biden would still have a good chance.

Especially since, as you pointed out, he didn't exactly inherit a good economy from El Cheetolísimo.

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Yahoo Finance-Fed's Williams: The Fed has its 'work cut out' bringing down inflation [View all] sprinkleeninow Apr 2023 OP

If you remember the 70s and understand economics this is not a surprise bucolic_frolic Apr 2023 #1

But then - they'd trigger a deep, Early '80s-style recession peppertree Apr 2023 #2

Biden's inherited timing on the economy will be as bad as Trump inheriting COVID bucolic_frolic Apr 2023 #3

I hear you peppertree Apr 2023 #4

It may not be as bad as the 1970s, this is a gig economy bucolic_frolic Apr 2023 #5

In any case, it's all up to the Fed - and I fear they'll try to 'Carter' Biden peppertree Apr 2023 #6

There was 3.5% inflation for several months. The Fed target is 2% progree Apr 2023 #7

Biden and Powell met about 18 months ago, I think bucolic_frolic Apr 2023 #8

Well said. peppertree Apr 2023 #9