Desmond Lachman, an economist and senior fellow with the American Enterprise Institute (AEI), told Breitbart News on Sunday that the U.S. is beginning to resemble a Latin American country given its inflation, government spending, and printing of money.
“[The U.S. is] in [a]very bad position from a long-term point of view. I don’t see how this can end well when we’re running — now — budget deficits something like 15 percent of GDP,” Lachman said on SiriusXM’s Breitbart News Sunday with host Joel Pollak. “This is beginning to look a little bit like a Latin American country.”
Government borrowing and spending — marketed as economic “stimulus” by its proponents — combines with growing government debt and expansion of the money supply to drive inflation, Lachman explained.
“The real reason that one should be worried about inflation is that there’s far too much stimulus in this economy,” he remarked.