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MacroVoices #361 Alex Gurevich: Jay Powell says, “Effects of tightening not yet felt.” Alex says, “No shit, Jay.”

Macro Voices

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Inflation Is the First Through the Drop

We are seeing like certain areas having pain but certain areas aren't. We are not seeing this broad crisis which is interesting why if this recession will be much deeper because Fed has no incentive to react quickly and fix the crisis. So what I realized is that probably the first dominant of reform will be inflation. And then so instead of crushing employment, they will create a deflationary shock. That eventually it will cause economic pain and payment on employment side But that is still a bit away.

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