“The Federal Reserve won’t be able to curb inflationary pressures because they are rooted in expansionary fiscal policy, according to a paper presented at the central bank’s annual Jackson Hole conference on Saturday.”
USAGOLD note: The Fed has already admitted to being limited as to what it can do about supply-side-driven inflation. Now, researchers at the San Francisco Fed tell us that it can’t do much about inflation because its driven by government spending. One of the great mysteries of the times – at least on the financial front – is why Wall Street continues to believe that the Fed has the inflation problem under control when the institution itself keeps telling us it does not. In the meanwhile, Washington is never at a loss for new ways to pile up the spending and debt.