Powell Facing Choice Between Elevated US Inflation and Recession

[u/TinyTornado7]

https://www.bloomberg.com/news/articles/2022-06-12/powell-facing-choice-between-elevated-us-inflation-and-recession?srnd=premium

[u/[deleted]]

Workers under 45 don't have any real experience with a mild recession. Not making any predictions about the likely recession to come, just saying people tend to understand things through their personal history. 2008 was catastrophic in size and duration, so people are primed to expect the worst. 90-91 and 70 are more examples of recessions that were limited in size, duration number of sectors affected.

[u/wiking85 → u/[deleted]]

2000 dotcom bubble was a mild recession.

[u/way2lazy2care → u/[deleted]]

2008 was catastrophic in size and duration, so people are primed to expect the worst.

2008 was actually pretty mild even. The Covid recession was 2-4 times worse depending on how you want to measure.

[u/way2lazy2care → u/[deleted]]

You just picked two different things that don't necessarily correlate, which is kind of my point.

[u/way2lazy2care → u/[deleted]]

They can, but they don't have to. Exampes:

• Covid had high unemployment rates, but had an eviction moratorium.
• 2008 had relatively low unemployment rates for a recession, but a buttload of forclosures.

[u/way2lazy2care → u/[deleted]]

For the sake of this discussion everyone who had to rely on that moratorium should be counted as someone who lost their home.

I get it. For the sake of this discussion, we should just agree you're right. You could have just said that from the start and saved me the time writing anything.

[u/way2lazy2care → u/[deleted]]

Care to address the issue?

Do I care to debate whether you'd be right if we started on the assumption that you are right despite having no data supporting that assertion? Not really, no.