Leaked Microsoft memo tells managers not to use budget cuts as an explainer for lack of pay rises: ‘Reinforce that every year offers unique opportunity for impact’::Managers are being ordered to dodge employees’ questions about how the latest budget cuts will impact their pay.
These idiots think that inflation is driven by spending, so if people are buying and investing that prices will rise.
So they think that raising rates will reduce access to loans/debt which will reduce consumer spending which will reduce inflation.
The running explanation is that an inflation rate of 2% is “healthy” and prevents hoarding.
2% inflation means that my money is worth less tomorrow, and experts seem to agree that that means I’m going to spend my money “correctly”.
2% deflation means that my money is worth more tomorrow, and experts seem to agree that that means I’m going to starve myself and live like a hermit while hoarding my money because nobody would ever buy anything if it would be cheaper next year.
It’s all bullshit.
It’s not bullshit, that’s the thing.