by John Tamny
Forbes
“The central bank didn’t predict the inflation that started to arrive in earnest in early 2021 and didn’t predict how durable it would be.” Those are the words of Joseph Sternberg at the Wall Street Journal on Friday, and they’re insufficient.
What Sternberg should have written was that “Neither the central bank nor the self-congratulatory pundits who claim they predicted inflation actually predicted the inflation that the Federal Reserve also didn’t predict. And they didn’t predict the ‘inflation’ because it wasn’t inflation.”
To see why, let’s just traffic in reality. Left and right who claim they predicted inflation based it on a surge of demand that allegedly followed a surge in government spending under a newly-inaugurated President Biden in 2021.