Pick your Poison

The economy is stalled and gasping for any traction it can find to stop the slide into the ditch. Meanwhile, inflation indicators are hitting alarming highs (recent numbers showed a rate passing 5.6 percent).

All eyes have been on the Fed to see which fire they want to put out. If it raises interest rates to slow down inflation, the faltering economy may take a turn for the worse.

If it chooses to lower interest rates to give the economy a jump-start, inflation may shoot out of control.

For now it seems the Fed will do the only thing it can and sit tight on interest rates. This is a gamble because doing nothing may have worse consequences (stagflation - slowing economy and high inflation).

All of which raises what may be the most important point of all: Our $15 trillion economy is extremely complex and dynamic. The idea that we have the wisdom to discern what is best in any set of circumstances may be an ego-driven illusion.