Nominal GDP increased at an annual rate of 8.2% in Q3, after a 6% annualized rise in the previous quarter. These consecutive strong increases in nominal economic activity are the largest since 2022. Monetary policy affects nominal spending, and the Nominal GDP/Fed Funds rule suggests that the current monetary policy stance is "far too easy". GDP price Index +3.7%. Earth to Fed!
The surge in A. I. Investments continue to progress rapidly. Over the last year, business spending on technology equipment and software has risen by over $250 billion. This accounts for an astounding
Fed Chair Nominee Kevin Warsh intends to link the Fed's inflation target to median or "trimmed" price measures. These measures are a statistically manipulated version of reported inflation, creating
The US economy is currently facing a major energy shock, and the Federal Reserve needs to apply strategies designed for supply shocks. Yet, the Federal Reserve appears to be operating under the belief
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