1/3 two 2/3s of the big inflation we had was caused by supply side issues, meaning Covid-caused problems with producing goods, services, and energy, rather than too much government spending. The other 1 or 2 thirds…was government spending–the Covid relief bills.
Some people talked about tariffs like they would single handedly crush the economy. That’s unfortunate because models showed that tariffs are bad for the economy in ways that hurt people, but aren’t usually significant enough to single-handedly crush the economy. This makes it easier for people to incorrectly deny the harms of tariffs in general, and the harms of the current and recent tariffs.