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JackMitcham t1_j19o894 wrote

Reply to comment by dirtballmagnet in The US economy grew much faster than previously thought in the third quarter by barrinmw

Which is a problem, according to the Federal Reserve.

This article is supposed to be bad news.

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hillsons t1_j1a96k2 wrote

I'm so god damn tired of it always being labeled bad news no matter what. GDP is down, terrible news, recession looming! Wait, GDP is up, oh no, the fed is going to raise rates, horrible!

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VegasKL t1_j1b3ira wrote

It's bad news "from the perspective of the economy" .. a healthy economy has a certain amount of unemployment, and growth.

When trying to cool it off to correct it, seeing more growth on top of it can be seen as a negative.

To the average person, it's seems like good news. We're living in very confusing times -- economic growth = bad, low unemployment = bad, massive layoffs in some industries yet still low unemployment = bad.

The problem is, it's not the wallet of the citizens, inflation is being driven by companies arbitrarily raising their prices (or reducing costs, features) because "everyone else is doing it." There's a reason some countries have a Windfall tax, so the government can step in and say "look here f***heads, you're gouging everyone."

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hillsons t1_j1bekbn wrote

I wonder what would happen if we stopped letting 30 people own all the wealth.

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laconicflow t1_j1at9vy wrote

Well, with the economy there's usually an upside to all news. Rates raised, short sell.

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I_ONLY_PLAY_4C_LOAM t1_j1c3z8w wrote

I think what the fed is worried about is rising wages will entrench price increases that are causing inflation, and that the supply side issues we've been having since covid haven't resolved fully. It's not just that they don't like rising wages. The context is that rising wages won't mean much if everything else also rises. The Fed isn't some evil anti labor organization. They exist to prevent the next great depression, and the monetary policy to do that can look unintuitive.

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Art-Zuron t1_j1c77vq wrote

Those prices ain't ever coming down. The inflations artificial. It won't behave predictably according to supply and demand.

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lvlint67 t1_j1cb3jb wrote

There are still supply side issues. Sourcing things like electronic components and raw materials like silicon and aluminum are still not easy.

I'm not writing off corporate greed, but we are still recovering..

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TooManyDraculas t1_j1e0gij wrote

Some of it. There's a ton of price gouging going on. Fiscal policy can't resolve that, legislation and other regulatory action can though.

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