https://www.aier.org/article/congress-overspends-but-the-fed-inflates
Central Bank monetization of government spending above tax collections.
But it does not develop the resulting inflationary process RULE: Prices rise until the real value of wealth decline is sufficient to pay for the resource cost of the original excess government spending. For a given pulse in deficit spending the inflation will stop when the process succeeds in this economic purpose. If the gov. spending continuers the inflation will continue.
The only solution is a central bank that ceases and desists from this service to the government political process in direct violation of its higher duty to the citizens.
The problem isn't just government spending. Private banks that expand the money supply can cause inflation.
A big problem that we face is that there is often a delay between inflationary acts and the realization of the inflation.
This lets politicians and bankers project the problem on inflation onto other actors. For example politicians and bankers routinely blame rising wages are the cause of inflation. This claim is clearly a lie as wages have not been keeping with rises in productivity.
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