The federal reserve was not as aggressive as it could have been in part because of the experience of the 19 seventies, that they were very nervous about bringing back that kind of inflation. And so it felt a lot like a lost decade due to timidity by the fed. A new generation of leadership, particular the current fed chair, j powell took a very different direction and started focusing, like monomaniacally, on trying to reduce unemployment.
Last year, Vox correspondent Dylan Matthews didn’t think inflation would be a big deal. He wasn’t the only one to miss the mark.
This episode was produced by Will Reid, edited by Matt Collette, engineered by Paul Mounsey, fact-checked by Laura Bullard, and hosted by Noel King.
Transcript at vox.com/todayexplained
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