Bank of Canada to raise rates 25 basis points on July 12, possibly the last: Reuters poll | Reuters

Yeah. And it's having no noticeable effect on inflation ... it's almost like they are turning the wrong dial. The people hurting most with these interest rate rises are those who can least afford it and consequently have least effect on inflation.

Maybe/probably but it's a false dichotomy. Interest rates are only one mechanism for controlling inflation, and a target coarse one.

Consider housing, increasing the interest rates makes it harder to buy a house, but it also makes it harder to build a house. Since this inflationary spiral we seem to be getting sucked into is at least partly (probably mostly) tied to restricted supply of "the stuff to buy" side if the balance, prolonged high interest rates could lead to stagflation.

This same high inflation also effects capital spending at any company seeking to expand production.

I'm not an economist, and I'm sure you'd get three different answers from two different economists, but I'm thinking we're getting into that tickle point where interest rate hikes might start putting us into stagflation. Fundamentally, central banks aren't going to fix this global inflation problem by playing with interest rates. You're dealing with a real loss in production wrt the pandemic, and now a major land war in a highly agriculturally productive area of the world.

Say that to the people who will eventual default on their mortgages and lose their homes. Economics is the only social science that behaves as if it were a natural science where everything is self-evident. That's not to say that low interest rate are inherently good but that the mechanism itself that is used to combat any form of inflation is a very limited tool.