“As I’ve mentioned, it can be the case that it’s appropriate sometimes to look through inflation if it’s going to go away quickly without action by us, if it’s transitory."
nice piece! How would you say the inflation spike has affected japans economy, an infamously stationary economy? Is the hope for interest rate normalisation transitory or persistent. Have we found the cure to sleepy economies or is this a transitory phase about to fizzle out
nice piece! How would you say the inflation spike has affected japans economy, an infamously stationary economy? Is the hope for interest rate normalisation transitory or persistent. Have we found the cure to sleepy economies or is this a transitory phase about to fizzle out
Thank you! I have written about Japan in this post, if you’re interested: https://open.substack.com/pub/eightateeight/p/negative-interest-rate-policy-and?r=1frwrv&utm_medium=ios
I think of “transitory” as “mean-reverting.” Not sure if this helps though. 🙂
It does! Let’s get the word out :)
I feel like transitory is Powell’s word for we don't need to worry about it until we really need to worry about it.
Fingers crossed🤞 😊