The economics coming up - how does the Fed and Congress manage?

[sg0508]

Back to the late 70s we go with inflation + a recession (looming), or stagflation.

The immediate problems:

1) Rising interest rates will likely tightening borrowing, forcing a recession, possibly cooling the housing market a bit, but who knows if it will make much of a difference?

2) Until the global supply chain is eased, inflation will remain high with shortages

3) How will the conflict in eastern Europe impact the whole thing?

4) The workforce shortage is the big question I have.  60% + are paycheck to paycheck and many are refusing to work. The layoffs haven't really started yet, but they're likely coming if the recession hits.  What happens with people refusing to work?

5) See #4, but we cannot flood the market with more bailout money and $300 checks.

6) The real estate shortage in many states, along with foreign and domestic companies buying up property has both renting and owning unaffordable for many in a short period of time.  Who knows what also happens with those that suddenly can't afford the rent/mortgage if they lose an active job? The lack of price ceilings in many states is hurting the average person.

Lots of challenges in the coming years.  How do we think this shakes out?