- Biden admin: wrong
- Most economists: wrong
- Investors: wrong
- Bank analysts: wrong
- Biden critics: wrong (missed the boom)
- Bitcoin bros: wrong (beat by equities post-3/21)
Everybody was wrong!
In today's ep, @awealthofcs and @michaelbatnick join to talk about why '21 boomflation—a roaring economy plus 40-yr high price growth—was the story ~nobody saw coming.
Most inflation-watchers missed the boom; most boom-predictors whiffed on inflation.
Today's ep is partly inspired by @jasonfurman, who (along with @ModeledBehavior) not only got 2021 about as right as anybody I spoke too, but also has written cogently about how and why just about everybody missed the dynamics underlying inflation
He called ... some of it! Read @JHWeissmann, who wrote the definitive piece on why it's not entirely accurate to say that Larry Summers nailed the inflation call
This is one of the most important articles I'll write all year—and the most complete framework for how I'm thinking about progress, public policy, and a better future for all Americans:
Think about how often scarcity has been the story of the pandemic:
- First, we were told to not wear masks, bc there weren't enough.
- Then we were told to not get booster shots, bc there weren't enough.
- Now some ppl are worried about hoarding tests, bc there aren't enough.
Now think about how supply side snafus have also become a major storyline in the economy
- We didn't invest in port technology, and now we have a supply bottleneck at the ports
- We watched legal immigration collapse for years, and now we have a labor shortage
Four big ideas from the global evidence: 1. It's milder (different than "mild"). 2. It's fast. 3. It's a big problem for the unvaccinated + hospital systems. 4. It's worse in the US.
1. It's milder (different than "mild")
The virus's upper-respiratory replication combined with immunity from vaccines and natural infection seem to be responsible for the global evidence of a divergence between case growth and deaths.
An argument I see a lot on here: ~Web3's problems are the same ones email and mobile Internet had, which means Web3 *is* the next mobile Internet!~
No. Just bc two things share the same failures doesn't mean they'll follow the same success path.
It's "analogy by failure."
"Analogy by failure" in Web3 debates doesn't prove Web3 will fail. It doesn't prove anything. It's just a fallacy.
If I tape dung to a cup and say it's a radio, that's a failure too. I can say "you idiots, email also failed once" but that doesn't change that it's cup-dung.
It's really the proving too much fallacy, but I've found pitiful engagement on citations of PTM, and I think we should just rename it for the Internet something more intuitive, since "My thing is failing in all most auspicious ways" is the way this argument typically appears.
Feat.:
- supersonic travel
- carbon removal
- SpaceX's big fat cheap rocket
- the first cancer vaccines
- flying cars
- unraveling the mystery of proteins!