The economy’s strength and stability — defying many of the most optimistic predictions — represents a remarkable development after seemingly endless crises

As 2023 winds to a close, Powell and his colleagues are far from declaring victory on inflation. They routinely caution that their actions could be thwarted by any number of threats, from war in the Middle East to China’s economic slowdown. Americans are upset about high costs for rent, groceries and other basics, which aren’t going back to pre-pandemic levels. The White House, too, is quick to emphasize that much work remains.

Yet the economy is ending the year in a remarkably better position than almost anyone on Wall Street or in mainstream economics predicted, having bested just about all expectations time and again. Inflation has dropped to 3.1 percent, from a peak of 9.1. The unemployment rate is at a hot 3.7 percent, and the economy grew at a healthy clip in the most recent quarter. The Fed is probably finished hiking interest rates and is eyeing cuts next year. Financial markets are at or near all-time highs, and the S&P 500 could hit a new record this week, too.

  • Blackbeard@lemmy.worldEnglish
    213·
    1 year ago

    The article says:

    No, it doesn’t. The article says:

    1. Skyrocketing interest rates.
    2. Increased fossil fuels drilling
    3. Forcing ports to operate 24/7 to flood the market with imported consumer goods.
    4. Tapped into the strategic fuel reserves
    5. Resisted calls for price controls
    6. Pursued major new federal spending programs

    It also says that 3 helped cool price shocks, 6 flooded the market with new workers who saw wage gains and helped increase demand, 1 helped keep the housing market out of recession, and the combination of 1-6 helped stave off major, economy-wide layoffs. All of these helped the average American, but somehow you filtered the entire analysis through your myopia-lens and latched onto the most damning interpretation you could muster. Wonder why you did that…

    • givesomefucks@lemmy.worldEnglish
      312·
      1 year ago

      So…

      You’re saying the article lists three more things that helped the wealthy.

      And one of your examples for how that helps the average American is it kept housing prices high?

      And you know what avoids layoffs and actually helps workers? Fixing the actual problem which is out of control wealth inequality.

      Even just trying to do something about that would pretty much guarantee Biden gets a second term.

      • Blackbeard@lemmy.worldEnglish
        123·
        1 year ago

        You’re saying the article lists three more things that helped the wealthy.

        Nope.

        And one of your examples for how that helps the average American is it kept housing prices high?

        Low inventory keeps housing prices high, numbnuts. Supply & Demand. It’s not rocket science, and the President doesn’t build houses.

        And you know what avoids layoffs and actually helps workers? Fixing the actual problem which is out of control wealth inequality.

        So we’re back to ignoring things a single American president does have control over in favor of things they don’t?

        Good talk, chad.