Re: Roach-Stagflation
June 13, 2008 at 09:30 AM EDT
(an email exchange) A few of things: First, the rising wages in the 70’s led to bracket creep that put the budget in surplus in 1979 and resulted in a severe recession soon after. This time around it is unlikely the inflation takes much of a dent out of the deficit so it’s more likely demand will be [...]