I just came across an old post of mine from 2008, where I angrily defended the core CPI against critics who claimed that it hid inflation that would soon roil the economy.
An obvious thought comes to mind: if these people actually influenced our monetary policy, and the Fed had raised rates in September 2008 in response to "worrying" CPI increases (which were really just in food and oil), where would we be now? My guess is that in such a world, 10% unemployment would seem like a rosy vision of recovery.
Nearly everyone failed to anticipate the depth of our financial crisis, or address systemic risks before they blasted their way into the popular consciousness. But compared to the idiocy of mid-2008 inflation hawks, these failures seem minor. If you thought that the summer of 2008 was a good time for the Fed to tighten the money supply, you should be permanently disqualified from offering economic commentary.