Debt incurred from the Federal Reserve is the LITERAL definition of inflation. On top of that, money fabricated from thin air competing with real earned money is what creates bubbles that can pop later.
I don't really care what effect the relatively low interest rates have on the Housing Market, or the Auto Market. They follow the economy, not lead it. People don't buy a new car, and then go and get a job. It's the other way around. Or at least it should be. (See the other threads here talking about people getting offers on their used cars higher than the new MSRP.)
Increases in productivity comes naturally. The only thing in its way is Government Intervention and "free" federal reserve money. Both of which stifle winners AND losers in the market.
You lost me Dan. "Debt incurred from the Federal Reserve is the LITERAL definition of inflation." Did you mean consumer debt incurred as a result of Federal reserve policy and additional consumer debt equals more inflation? That sentence doesn't make sense so I am trying to guess what you are trying to communicate with that statement. The second part "money fabricated from thin air competing with real earned money is what creates bubbles that can pop later." is crystal clear and I 100% agree.
It is usually true that people don't buy a new car and then go get a job. They do buy more cars and homes though when they can afford to. Low interest rates = lower payments = more buying. Higher than new MSRP was a result of many things. Shortage of new vehicles being produced due to things like chips not being available because the plant they were produced in burned down, along with people getting a load of free money from the government to name a couple of the big reasons.