Lawrence Summers, who served as Bill Clinton’s treasury secretary and Barack Obama’s top economic adviser, warned that Biden’s plan was excessive and that it might trigger “inflationary pressures of a kind we have not seen in a generation, with consequences for the value of the dollar and financial stability”.
In our Outlook 2021, I paid attention to depict all the conditions generating inflation.
https://gateadvisory.com/research/blog/our-outlook-2021-collision-course/
I added one condition and I am aligned with Summers. The velocity of M2 reached an all-time low while the M2 aggregate topped all-time highs. If Biden fuels more liquidity and succeeds in transforming Robinhooders into consumers, as well light a cigar in a tank full of hydrogen…