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Comment by mghfreud | Hacker News Reader

Until last year, US and Europe was desperately trying to raise inflation. I do not remember any time in Turkish history when this was the case.

Anyways, current Turkish PPI is >50% (and it will only increase in coming months.). The real interest rate in Turkey is in far negative territory compared to US and EU, where they are desperate for inflation.

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>> US ... was desperately trying to raise inflation.

Well good news, they succeeded beyond their wildest dreams....

Right, but at least they said they know there is a problem and they will address it. It is not like how it is in Turkey where they said “inflation is high, let’s decrease it by printing far far more money and decreasing interest rate further”.

I am not aware that US government is going to address inflation issues. Interest rate should at least match inflation that is 6.8% and that is not going to happen.

The Fed isn’t doing that because it’s an extreme change that would wreck the economy. Or at least, so many people believe. Why do you think you know better?

I only say FED doesn’t address inflation. Not if it is good or bad.

They obviously address inflation. Why do you think they do not?

Fed didn't increase interest rate, so they obviously didn't address inflation.

Have they? because last I checked they (both the Tresury, and The Fed) still insist that this inflation is transitory, supply chain issue not their monentary policy... (they investigated themselves and found they did nothing wrong)

And they are still claiming government spending trillions is not the cause, and will not create new inflation..

So no, I dont believe they have acknowledged the problem at all, nor are they really going to address is. Sure the fed says they will wind down their buying, and signaled they might raise interest rates VERY VERY VERY minimally, they are acting as if demand caused by supply chain issues is the root cause

It is not

They have taken actions in response to inflation....

Well. 7% inflation is not insane. Look at it over the last 5 years. Average inflation is not crazy.

7% should considered unacceptable.

It is great for those with hard assets, it is TERRIBLE for the working poor.

Funny how many of the same people that claim to want to help the poor (democrats) have no problem with high inflation

Inflation is great for people in massive debt, or hold assets, and the rich

Inflation is terrible for savers, responsible people living with in their means, poor that pay cash for everything, etc etc.

Inflation is a mixed bag, you can't make blanket statements about it at all. The only thing that is always bad for working people is an excessively high real interest rate as interest can only be paid through doing actual work. Companies pass their interest payments onto consumer prices meaning the top 10% are the only net recipients of interest.

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