Hyperinflation is always just around the corner, isn't it? That's what conservatives tell us. They say big government spending will eventually transform the United States into Zimbabwe.
That's never going to happen even if Republicans give it their best shot, but Federal Reserve officials do say the GOP's tax cut proposal could lead to inflation and even recession.
Slashing personal or corporate tax rates could boost short-term growth as households and businesses spend more, Fed policymakers acknowledged, but those benefits could prove short lived due to broad trends like population aging and rising indebtedness. [...]
Unless targeted to raise productivity and underlying potential, a tax cut could feed "unsustainable" growth that could ultimately be undone by asset price bubbles, inflation and possible recession, San Francisco Fed President John Williams told reporters on the sidelines of a community banking conference here on Thursday.
That sounds familiar, doesn't it?
I don't think we need a reboot of the original film staring George W. Bush.