GARZARELLI CAPITAL: “.. Soaring money supply growth during Trump’s term caused double digit inflation later on. Money supply has declined under Biden leading to disinflation. ..” #M2
@carlquintanilla Nope. Too much govt spending. Try again. @zerohedge @profstonge Only reason GDP is positive is govt spending and a trillion dollar deficit being added every 4 months.
@carlquintanilla @JohnJHarwood Great chart this is something that needs to be broadly shared throughout the 2024 election season. Clearly shows that the root cause of inflation was 2020 policy. We all knew that, of course, but this chart really brings that point home.
@carlquintanilla These are financial people? 🤔
@carlquintanilla Did we forget about the big catalyst: Covid, hello? That was the primary factor for more money supply
@carlquintanilla This ignores spending under Biden. The “inflation reduction act” and Bidens spending has been inflationary. Absent that spending inflation caused by COVID would have been transitory.
@carlquintanilla So Biden trillion dollar deficits do not add to money supply?
MV =PQ. First, this chart needs to be paired with a Covid timeline and concurrent velocity of money. Second, Presidents influence fiscal, not monetary policy. Biden’s 1.3t stim package after the economy was already reopening was an egregious and inflationary mistake. OTOH, expanding money supply going into a lockdown makes perfect sense. Biden didn’t cure inflation, he helped drive it and the public can sense that- which is one reason he’s polling poorly.