Can inflation actually be fixed? Is there any hope? Or will prices just gradually keep increasing?
In: 45
It depends on what you mean by fixed. You ALWAYS want some inflation as it stimulates the economy.
Lowering it to normal historic levels if what you’re talking about. You do that by cooling down the economy. Remember people opposing the massive stimulus the the US did. Their rationale was both we have to pay it back and it will drive inflation into the sky. Sensible people didn’t listen though.
The easiest way to control the economy is via the Fed which determines interest rates in the country. Economy is overheating? Raise rates. Economy is going to recession. Lower them. Government spending and the money supply can be used to control things as well.
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