Yellen says interest rates may need to rise to stop economy from overheating

Im sure everyone expected this, you cant print tons of money and inject it into the economy and not expect there to be inflation as a consequence. We need to let the dollar stabilize before we start talking about more and more stimulus, although stimulus has immediate positive effects, it also has long term negative ones. It is probably a good idea to raise the rates as a consequence of our policies to avoid a deeper covid recession.

 

Funny thing is that inflation is causing what looks like growth, as the money loses value they charge more and end up making more devalued money. Everyone is raising prices and according to Buffet, those prices are being accepted. Might make portfolio's look good, but nobody, especially the middle class like goods costing so much more so fast. Maybe a cool down is necessary.

 

This needed to happen at least 6 years ago. They have been kept artificially low for far too long.

 

Congress needs to be reigned in big time. Lots of people talk about the debt in terms of dollars, but as a % of GDP is important, too. I can't count the number of articles I saw of people who didn't need a COVID loan who took them out, invested the money and made more money, then paid back the loan with the low interest rate. So much waste.

 

Yellen is the 'Fed's' power-projection in the clown-circus known as the Biden "Administration". But, in truth, it's not just a 'Democrat' thing... the total takeover of everything of importance in the economy of this country actually began in August 2007, when "W" was president....

Of COURSE there's inflation, and a hell of a lot of it, too -- in everything from leases, rents, medical care, dental care, taxes and fees, home insurance, groceries, hardware, utility bills, gasoline, on and on and on.

But, the Fed goes right on 'printing' imaginary money and buying 'bonds' to prop up an enormously overvalued stock market 'casino' while it keeps interest rates on peoples' savings accounts crushed into the dirt.

*** When the internationalist central banks together decide the time is right to pull the props out from under this 'Colossus of Fraud', it will be the crash 'heard 'round the world'.... ***

 

Only a week since this thread and there is inflation, some numbers are reflecting what we saw post 2008 crisis. Hopefully action is taken to slow it down.

 

Looks like it may be a necessary evil.

 

With just a 1 percent interest rate raise, and that is being very conservative, the interest on the $28T national debt should be very concerning to everyone. We can pretty much kiss our much needed infrastructure overhaul goodbye.

 

The infrastructure has to get done, period.

 

But it won't. infrastructure repair helps the party in the White House and the other party would rather all our bridges fall down than make the other side look good

 

When have we never not done infrastructure? And didn't Biden learn that "infrastructure" jobs do nothing for the immediate picture? Those are LONG term that take years to get going. The problem is the NOW, getting people to reenter the workforce NOW not next year, not 5 years from now.

 

I thought Treasury Secretaries were not suppose to involve themselves in the independent acts of the independent Federal Reserve. They don't manage monetary policy.

 

Evidently, she forgot she isn't on the Federal Reserve anymore. She should keep her mouth shut. She should worry more about artificially creating inflation with government spending.

 

We have not done infrastructure this century. All we have done is patch holes and never address the aging issues.

And we never will because neither party will help the country if it gives the other side a "win".

 

Don't know where you live but new roads and bridges and repairs and expansions have happened my entire life. The thing that has held it back the most in my lifetime have been environmental lawsuits.

 

There is always patch work going on, but the things that take the most money and the most time are ignored, things like bridges and the like.

 

Nope, brand new and better and bigger. We've been trying to get a new MAJOR interestate bridge built that would rival the Golden Gate Bridge for 20 years now and the hang ups have been environmental group primarily. Every time they file a lawsuit and it is settled or dismissed then they file another one. Same with 4 laning a major US highway because it would require a bridge near a water supply. It's been called "Bloody 98" since I was a kid in the 1950's and it still is.

 

Peeps....you can't put your rates up, you've got $20 trillion of debt, what do you think the interest payment is on $20 trillion. You'll be printing trillions just to pay the interest on your debt.

I'm sorry but.... you're bankrupt... Ameribabwe. Time to hedge, bitcoin is down 4% today, great time to buy

 

It does but it will take more than just handing out shovels and putting people to work. It's the entire infrastructure that needs upgrading and that takes a lot of planning before the actual work starts. And I seriously doubt any serious planning has been done. Throwing several trillion dollars after bad is only going to sink this country financially even further than we already are.

 

Roads and bridges is just one part of the US infrastructure that needs a serious overhaul. Cape Cod has 2 major bridges crossing the canal that was built back in the early 30's. They have been inadequate for the level of traffic they carry for 20 years or more and need to be replaced. It's going to take years and a ton of money to get the job done right and no politician has the political will to commit to such an undertaking and we all know if it is started by one party the next party to take the WH will cancel it and it starts all over again. Stop blaming environmentalists and look to your own party for being part of the problem our infrastructure is falling apart.

 

dude...you're in a bottomless pit, you're going to sink whether you dig or not

 

It's what we call infrastructure, if you want to fund other things then call then by their names and propose what you want to spend on them. And YES it will take YEARS it is not stimulus it is long term and I betcha those projects have been held up more by environmental and regulatory requirements than funding. Good grief if we tear up anymore roads and close things to fix them we won't be able to get anywhere due to construction.

The fact remains what we need NOW is to cut these unnecessary hand outs of free taxpayer money and tell people go back to work, fill then unfilled jobs, become TAXPAYERS stop being a government EXPENSE and government get out of the way.

 

So why do they need $2T+ to do what experts say can be done for under $700B? Oh right because just as with the COVID bill, its not all about infrastructure. Its just about saying it is so that people can go around accusing the opponents of wanting bridges to fall down.

 

The dems were in charge for a while under obama.....what happened?

 

Yellen says interest rates may need to rise to stop economy from overheating

OK. But to me it makes more sense to stop this crazy government spending and money printing. The problem is not an "overheated" economy. The problem is inflation, something the government loves.