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Looking at the graph, there have been 2% spikes in inflation in the course of a year relatively commonly. I think that's the fear of the inflation hawks, that there will be a sudden shift in sentiment that can't be controlled. However, one issue that's not often appreciated is that most reserves these days are electronic, which means the Bernank can pull them out quickly. I doubt this was the case back in the 70's. If you actually print cash to hand to the banks for them to keep in reserve, tough to control how they spend it afterwards, but that's not what the Fed does with electronic reserves these days.
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