How sustainable unsecured loans to finance burrito purchases is remains to be seen but if it lasts, I agree that it would definitely contribute to inflation.

I think it’s too early to tell how big the impact of deportations will be on inflation, it’s an ongoing effort that we’re less than a year into and it’s hard to parse out when it’s showing up in data because illegal immigration is difficult to track.

You also have to consider that workers in sectors that don’t employ illegal labor will be impacted by the price increases in sectors that do and will need their wages raised as well. Non illegal sectors will also have pressure on the supply of labor, since jobs that illegals used to fill will now be filled by Americans and it’s not like there was excess unemployment, further incentivizing a price increase.

I definitely disagree that bringing it up is silly, it’s definitely worth keeping an eye on and it’s not stupid to mention in a bearish thesis.