A finance commentator argues the U.S. needs thousands of new banks to fund productivity and growth, but expects the Fed to keep printing money instead — bad news for anyone worried about inflation.

• The argument: creating thousands of new small banks would expand credit to productive businesses, boost growth, and solve inflation through real output instead of money printing.
• Productivity is framed as the key fix — more banks lending to real businesses means more goods and services, which eases price pressure.
• The Fed is unlikely to take this path. Past performance suggests it has not caught on to the idea of expanding the banking system.
• Kevin Warsh, seen as a possible future Fed leader, is flagged as the person to watch on whether policy shifts.
• The default outcome is more money creation and debt monetization, which tends to push inflation higher without fixing the underlying productivity problem.

Outlook: Expect continued money printing rather than banking reform, keeping inflation risks elevated in the near term.