Monetary policy acts on aggregate demand with long and variable lags. This is the consensus position. The latencies are comparable, with plenty of uncertainty about each.
If you are the Fed in one hand, and CHIPs in the other hand, it is like being in a pool of molasses trying to make a waves in a long jump rope that don't interfere once they meet in the middle.
If you are the Fed in one hand, and CHIPs in the other hand, it is like being in a pool of molasses trying to make a waves in a long jump rope that don't interfere once they meet in the middle.