{"id":1114806,"date":"2021-12-13T13:59:41","date_gmt":"2021-12-13T18:59:41","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1114806"},"modified":"2021-12-13T13:59:43","modified_gmt":"2021-12-13T18:59:43","slug":"economist-federal-reserve-made-a-mistake-on-biden-inflation","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/economist-federal-reserve-made-a-mistake-on-biden-inflation\/","title":{"rendered":"Economist: Federal Reserve made a mistake on Biden inflation"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Feconomist-federal-reserve-made-a-mistake-on-biden-inflation%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1114806&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div id=\"attachment_2610990\" class=\"wp-caption alignnone\">\n<p id=\"caption-attachment-2610990\" class=\"wp-caption-text\">FILE \u2013 People transport a television to their car after shopping during a Black Friday sale at a Best Buy store on Friday, Nov. 26, 2021, in Overland Park, Kan. Prices for U.S. consumers jumped 6.8% in November compared with a year earlier as surging costs for food, energy, housing and other items left Americans enduring their highest annual inflation rate since 1982. (AP Photo\/Charlie Riedel, File)<\/p>\n<\/div>\n<h5>OAN Newsroom<br \/>UPDATED 10:09 AM PT \u2013 Monday, December 13, 2021<\/h5>\n<p>Economist Mohamed El-Erian is criticizing the Federal Reserve for failing to tackle inflation. During an <a href=\"https:\/\/twitter.com\/FaceTheNation\/status\/1470084930617106436?s=20\">interview<\/a> Sunday, he said the U.S. has not yet reached peak inflation and it could go higher from last month\u2019s reading of 6.8 percent.<\/p>\n<p>Meanwhile, Fed chair Jerome Powell admitted Joe Biden\u2019s inflation is persistent and not transitory as growth in prices hit its highest in 39-years. El-Erian said the Fed\u2019s credibility has suffered due to this inconsistency.<\/p>\n<blockquote>\n<p><strong>\u201cThe Fed must quickly, starting this week, regain control of the inflation narrative and regain its own credibility,\u201d he stressed. \u201cOtherwise, it will become a driver of higher inflation expectation that feed onto themselves.\u201d<\/strong><\/p>\n<\/blockquote>\n<p>El-Erian pointed out the Fed never expected inflation to approach 7 percent and he called it a \u201cmischaracterization.\u201d The economist said the Central Bank must admit its mistake and put every effort into fighting inflation before it\u2019s too late.<\/p>\n<p>Meanwhile, a former adviser to Barack Obama\u2019s Treasury Department, Steve Rattner, said it will likely take several years to fix Biden\u2019s inflation.<\/p>\n<blockquote>\n<p><strong>\u201cSo it is going to be painful and it\u2019s going to be painful for growth, it\u2019s going to be painful for jobs and we do have an election coming next year which is gonna be complicated,\u201d he stated in a recent <a href=\"https:\/\/www.youtube.com\/watch?v=TSjsMqbAiBA\">interview<\/a>.<\/strong><\/p>\n<\/blockquote>\n<p>Rattner compared Biden\u2019s economy to the inflationary wave of the late 1970s, saying back in the day it took a recession and several painful years to bring prices back to normal. He added, it\u2019s not yet clear whether Biden\u2019s economy is going that direction.<\/p>\n<p>Rattner also criticized Biden\u2019s latest spending bill while suggesting it may create more problems.<\/p>\n<blockquote>\n<p><strong>\u201cI wouldn\u2019t call it a tragedy, but I would call it a significant disappointment to pass legislation like this that doesn\u2019t really address the revenue side properly in so many ways,\u201d he continued. \u201cWe\u2019re not raising individual tax rates, we\u2019re not dealing with the estate tax problems. There\u2019s so much missing from it and that\u2019s really quite unfortunate.\u201d<\/strong><\/p>\n<\/blockquote>\n<p>Rattner also said the Federal Reserve will have to raise borrowing costs next year, which may help address inflation but it poses risks to economic growth going forward.<\/p>\n<h4>MORE NEWS:&nbsp;<a href=\"https:\/\/www.oann.com\/brazen-thieves-snatch-millions-in-broad-daylight\/\">Brazen Thieves Snatch Millions In Broad Daylight<\/a><\/h4>\n","protected":false},"excerpt":{"rendered":"<p>FILE \u2013 People transport a television to their car after shopping during a Black Friday sale at a Best Buy store on Friday, Nov. 26, 2021, in Overland Park, Kan. &#8230;<\/p>\n","protected":false},"author":79,"featured_media":2315279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1114806","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1114806","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/79"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1114806"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1114806\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1114806"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1114806"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1114806"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}