Recession Is Inevitable, Not Imminent: Brean's Ryding

The video discusses the challenges businesses face in an inflationary environment, comparing current inflation issues to those of the late 70s and early 80s. It highlights the concept of money illusion affecting both consumers and businesses. The discussion covers the negative real policy rate despite high CPI inflation and the market's adjustment to higher nominal yields. Optimism is expressed about adjusting to rising interest rates, with a focus on the potential for recession and the economic outlook. Despite inflation concerns, businesses and households remain relatively positive about their financial prospects.

What does the text suggest about the inevitability of a recession?

Discuss the disconnect between public perception of the economy and the outlook of small businesses.