Question Request for May 2022
Each month, we’ll send out an email asking you to ask us questions for the monthly Q&A (usually earlier in the month, but this one got away from us). You can submit your questions by commenting on this post, sending them via email, or scribbling them on a tiny note, strapping it to a carrier pigeon’s leg, and telling it to find us. If you see someone else has asked your question in the comments, give it a like (by clicking the heart button). The more likes, the more likely we are to answer that question.
Housing market - high mortgage rates and home prices up significantly mean sales have nowhere to go but down. Eventually, this will translate to lower sales prices - but given the shortage in housing - do you think this will translate into significantly lower prices or just a stabilizing of the current price ranges?
In terms of the effect on inflation how does a tax cut differ from say a stimulus payment? Or how does a tax increase differ from say raising the cost of borrowing?