Today, Dr. Rakeen Mabud, chief economist and managing director of the Groundwork Collaborative, responded to yesterday’s Consumer Price Index report and last week’s Jobs Report with the following statement:
“Larry Summers’ theory – that the only path to lower prices is to push our economy into a recession and send unemployment skyrocketing – is completely misguided. The economic evidence is clear: We can have a strong job market, higher wages, and lower inflation – and we don’t need further aggressive and painful interest rate hikes to do it.
“Workers and families who are still struggling with high prices should not have to shoulder the additional burden of a Fed-manufactured recession. It’s time to hit the mute button on Larry Summers’ inflation advice.”