Should Every Member of the Federal Reserve Resign?

People walking down the street would do a better job of keeping inflation at zero.

Tell me where inflation is going after reading the following three observations:

  1. The Federal Reserve looks at PCE, instead of CPI. Why? It is usually lower. They were late, incompetent, and clueless on inflation. They were slowly raising rates 500 basis points over longer than a year and watching the middle class get further destroyed along the way. And they are not even done.

From the article above—

” The Federal Reserve’s preferred inflation gauge bounced higher in April...” Economists are surprised again. Here is the rest of the story:

2 Now look at Money Supply over the last year. Going down, that’s good. but remember, and most economists forget!, that

M*V=P*Q= nominal GDP

Money supply multiplied by how many times money turns over is = (is = equals, remember algebra one-word problems!!?) the Nominal Gross Domestic Product.

See above, M2 (most widely watched gauge of money supply, by me I guess, since everyone else seems to have forgotten about this, and Milton Friedman and Paul Volker have passed on.), it is down about 5% year over year. so, Inflation should be coming down with 12-18 month lag…BUT

the V, the Velocity of money, has been going up Year over Year by 10%!

NOT GOOD. Do the other candidates even understand this. But Sen. Tim Scott is optimistic. Get me into a debate and I will teach them.

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