Jeff Snyder

You can't go backwards.

Every supply shock in history, prices go up in a step fashion, and then they level off where they are at a new step fashion or the new equilibrium, and they stay there.

So what Republicans should have said is, you want to blame Biden for that?

Fine.

Biden made you poorer.

Now we're going to try to fix it.

Not by getting prices to go down, because they will not go down.

They should have been clear on that.

Prices will never go down again.

We are never going to see 2019 prices again.

So what we're going to try to do is,

is our absolute best to make sure the jobs market is as strong and as resilient as matching the rhetoric coming from all these different economists in the Federal Reserve, so that what happens is, what should have happened if we had a strong economy, that you have prices that went up in 21 and 22, back then, five years ago, and then incomes rise to, first of all, meet prices and then exceed them.

What happens first?

What is the typical pattern?

In this case, because prices were forced higher by government action, it was a non-economic... Income has to be forced to increase.

Income should naturally go up.

If there was an actual recovery from the pandemic and the lockdowns, then incomes would naturally rise over enough time that it would equalize with the prices from 21 and 22, and then exceed them.

So even though the cost of a car is now $50,000 instead of $30,000...

you have more than enough income to pay for it.

And so we all get used to the new higher prices and it doesn't become a major problem.