Scott Sumner Blog | Ending Transitory Inflation Is Easy
https://talkmarkets.com/content/us-markets/ending-transitory-inflation-is-easy?post=353917
May 07, 2022 · Level targeting makes all inflation transitory. When the Korean War broke out in June 1950, the US economy was experiencing a period of mild deflation. By February 1951, the 12-month CPI inflation rate had reached 9.4%. By February 1952, inflation was back down to 2.2%. How did the Fed achieve success so quickly, without triggering a recession ...
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