Paul Krugman

@paulkrugman ↗

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Last Checked Oct. 8, 2022

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Sat Sep 03 13:48:38 +0000 2022

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Paul Krugman @paulkrugman

But is this calculation relevant? Both market prices and surveys suggest that medium-term inflation expectations have remained "anchored" despite recent inflation 8/ https://t.co/Ilf2gNL7DB — PolitiTweet.org

Posted Sept. 3, 2022

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Paul Krugman @paulkrugman

And if you apply estimates of the sacrifice ratio to the gap between core inflation and the Fed's 2 percent target, it's ugly: it says that we need a lot of excess unemployment in the years ahead 7/ — PolitiTweet.org

Posted Sept. 3, 2022

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Paul Krugman @paulkrugman

If those measures are right, getting inflation under control requires getting u up to u*, so f(u) is zero — so some pain — but that's the end of the story. No need for a period of above-normal unemployment 9/ — PolitiTweet.org

Posted Sept. 3, 2022