_metamythical [he/him]

  • 19 Posts
  • 9 Comments
Joined 4 years ago
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Cake day: July 26th, 2020

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  • Zero chance of recession this year.

    Here’s the explanation. Most recent recessions have been self-manufactured through credit expansion and rapid deflation through interest rate rises. Right now they’re holding steady. If they raise interest rates this year, there would be a chance of recession. But here’s your explanation of why they won’t raise rates this year: the fed’s job is to be seen as a non political actor. If they manufacture a recession in an election year, they come off as favouring the challenger, instead of the incumbent. So, they’re not going to meddle with interest rates this year.