@GeorgeGammon breaks down the core policy error in the current environment brilliantly. Excellent video and well worth watching. “They’re trying to fix a supply side problem with a demand side solution and all you’re doing is making the economy a lot worse, and at the end of the day you’re not fixing the real problem, which is refining capacity.” That is the contradiction in one sentence. Higher rates can suppress spending, hiring, credit and investment, but they cannot build refineries, repair damaged infrastructure or create more diesel. Policymakers can destroy enough demand to reduce inflation at the margin while simultaneously making the economy substantially weaker, all without resolving the physical constraint that caused the problem in the first place.