Lower prices due to increased productivity are also reflected in lower prices for factors of production, and entrepreneurs profit from the differential between the selling price of a good and its cost of production.
Ramaswamy is correct to associate the 1920s boom with his proposal for a stable price level.
We must realize that two great forces were at work on prices during the 1920s-the monetary inflation which propelled prices upward and the increase in productivity which lowered costs and prices.
Just as stabilizationists conclude that there is no inflation based on a stable price level, the Fed can determine that there's no inflationary threat as long as price inflation remains around their 2 percent target.
Notably, Ron DeSantis, who has also since ended his campaign, echoed Ramaswamy by endorsing a stable price level with a similar conflicting message: "The Fed should focus on stable prices. They are not an economic central planner for the American people." However, the manipulation of the price level and the management of the currency by the central bank is a particularly destructive form of central planning.
Ramaswamy concludes by saying the Fed "Should refocus to avoid repeating its past mistakes." However, as the original sin of the Great Depression, the Fed's policy of a stable price level in the 1920s must rank among its greatest mistakes.
Better answers will be required than the stable price level, which differs from the current Fed policy only in degree.
https://mises.org/mises-wire/two-cheers-vivek-ramaswamy-his-commentary-fed
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