Quantitative tightening could make quick work of inflation

Under the Fed's current quantitative tightening (QT) plans, global money supply is likely to shrink dramatically, reversing the effects of quantitative easing (QE) undertaken in 2020. Inflation will evaporate faster than anyone currently expects. That latest round of QE during 2020 was significantly more effective at increasing the rate of inflation than all prior attempts since 2008. While QE was far from the only policy used to push the economy to full employment and higher inflation, a pure monetary analysis goes a long way to better understand why the latter round was more effective ...