I think that you conveniently omit that effect of high interest rates on corporate spending as well as commerical and small business lending. Not to mention other capital investments. Also you are promoting an inflationary environment. I am not saying this is not needed but I just am saying that there will be other ramifications that nobody seems to mentioning or considering.
Yes I heartily agree that a tight money supply will help week out undesireable consumerism. That is fine and is necessary. However I do not agree that a broad swath saying high interest rates are good, should be made without contemplating other ramifications.
Yes we all want a housing market that is affordable. A previous post was made that was VERY correct about how the real rate of inflation has been hidden and that is very true. So that is starting to unwind and it is necessary that it does.
