Not a theory, just observing the relationship between blue line and blue bar, observable to any economist who advocates more inflation.
Let me give them points on the X axis, 1990, inflation jumps blue bar follows, 2000 ditto, and 2007 naturally.
For the extremely unobservant economists, I am talking about the bulge in the blue line, do you see it? Yet we have a collection of economists who think this chart is disputable, how?
This chart tells me the Fed needs to keep inflation below 2% so that we can maintain our stable 1.5% growth rate and possibly kick the can some 87 yards down the field. But I doubt it.
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