They have recently been talking up a storm on bubble vision as to whether the specter of inflation lies in our future. But we have a newsflash: It’s starring us in the face right here and right now, and has been for years.
Owing to Ben Bernanke’s inflation targeting folly, the Fed adopted an official goal of MOOAR inflation in January 2012. And they have spent the last eight years whining about not reaching their 2.00% target, even as they have furiously printed fiat credit in its pursuit.
Of course, there wasn’t a shred of empirical or theoretical basis for the now sacrosanct 2.00% annual target. Well, except for what amounts to a “just in case” notion peddled by unreconstructed Keynesians still enthrall to the myth that deflation caused the Great Depression—a hoary bit of nonsense we debunk more fully below.