Tyler Goodspeed: Continual High Rates Of Inflation Are Legacy Of $2 Trillion Fiscal Stimulus
In this Hoover Q&A, Kleinheinz Fellow Tyler Goodspeed reacts to the August 2022 Consumer Price Index (CPI), which reported overall inflation up 8.3 percent from last year and 0.1 percent from July. Goodspeed argues that the current inflationary pressures are in large part a consequence of the American Rescue Plan of 2021. The $2 trillion bill (equal to 10 percent of US GDP) resulted in historical levels of aggregate demand.
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Tyler Goodspeed: Continual High Rates Of Inflation Are Legacy Of $2 Trillion Fiscal Stimulus