Minerd Says Fed Is Inflating the Asset Bubble Even More

The transcript discusses the Federal Reserve's role in managing inflation above its 2% target and the challenges of doing so without creating asset bubbles. It highlights the ongoing economic inefficiencies and the potential difficulties in maintaining current interest rates. The discussion anticipates significant tradeoffs by 2023, emphasizing the complexity of balancing inflation control with economic stability.

What is the Federal Reserve's target inflation rate?

• 2%

• 4%

• 1%

• 3%

What is the main concern about the Federal Reserve's ability to manage inflation?

• Creating job opportunities

• Reducing national debt

• Avoiding asset price bubbles

• Increasing interest rates

What is expected to continue due to the Federal Reserve's accommodative policies?

• Deflation

• Asset price bubbles

• High unemployment

• Economic recession

What challenges are investments expected to face due to system inefficiencies?

• Increased profitability

• Reduced risks

• More challenges

• Stable returns

By 2023, what difficult trade-offs is the Federal Reserve expected to face?

• Increasing exports and reducing imports

• Reducing taxes and increasing spending

• Balancing inflation and employment

• Maintaining interest rates without inflating asset bubbles