I think we'll be talking about the 2021-2022 inflation for the rest of our lives as the COVID era is incorporated into textbooks etc. Fundamentally it was a supply shock from the initial wave of tightening in 2020. I believe doing nothing would've gotten us the same result with inflation "plummeting" to 3.2% YoY as supply caught up with the disruption. Increasing interest rates is simply bloodletting that hasn't killed us yet - quacks are patting themselves on the back but we're not out of their grasp yet. Sometime in the future the intervention will be disproven.
I think we'll be talking about the 2021-2022 inflation for the rest of our lives as the COVID era is incorporated into textbooks etc. Fundamentally it was a supply shock from the initial wave of tightening in 2020. I believe doing nothing would've gotten us the same result with inflation "plummeting" to 3.2% YoY as supply caught up with the disruption. Increasing interest rates is simply bloodletting that hasn't killed us yet - quacks are patting themselves on the back but we're not out of their grasp yet. Sometime in the future the intervention will be disproven.