Apr 30, 2021 Guest(s): Michael Lee Founder, Michael Lee Strategy
As President Joe Biden commits to $6 trillion of stimulus over the next decade, worries of inflation, or even hyperinflation, from both unprecedented monetary and fiscal stimulus take center stage in financial headlines.
Fiscal stimulus from the Biden Administration includes the $1.8 trillion American Families Plan, the $2.3 trillion American Jobs Plan and the $1.9 trillion American Rescue Plan.
Michael Lee, founder of Michael Lee Strategy, said that these hyperinflation fears are overblown, because the velocity of money simply isn't there.
"I don't think, in the U.S., we're going to have meaningful inflation ever again. We've Japanified our country. What you've done through the endless printing of money, it hyperinflates financial assets, and it crushes the velocity of money through the system. It's the velocity of money, in my opinion, that is the key driver of inflation," Lee told David Lin, anchor for Kitco News.