The Fed's Hardline This Year Could Mean a Recession in 2024

An inflation of 3.0% is hardly an economic crisis, and it does not warrant the Federal Reserve tipping the economy recession in order to hurry its progress towards that 2% goal. By the summer, inflation will be down to manageable levels, and there is no particular risk in letting inflation drift sideways or down from here. The U.S. economy is not a fundamentally inflation-prone economy today any more than it was a decade ago. Despite recent strong numbers in GDP and jobs, there is a slowdown coming, which should belatedly cause the Federal Reserve to reverse course.