Why Is the Federal Reserve Using the Official CPI Number?

The Biden administration wants inflation to be lower so they could say we beat inflation for you. But I think that also they don't mind in bringing interest rates lower than it should do. They try and absolutely kill inflation to bring interest rates right down because then they can service the debt. The Fed monetizes anything in excess of GDP growth. So as GDP has grown and debt has grown, that difference was about $9 trillion,. which is low and behold roughly what the balance sheet was. And when you take out the pandemic payments, you can see that actually what is happening is the Federal Reserve are issuing new debt to pay the interest on the old debt - three and a half years later