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To: RaceBannon

Government spending does not cause inflation

An increase in the money supply produces all types of spending. Too much money chasing too few goods produces price increases.

Inflation is at root a monetary phenomenon


31 posted on 06/15/2022 5:45:05 AM PDT by bert ( (KWE. NP. N.C. +12) Promoting Afro Heritage diversity will destroy the democrats)
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To: bert

if that was true then there would be demand for goods and services...an economic boom, not a slow down.

Is that called a bull market of sorts?

If we all had this cash that was printed, the inflation we would see would cause an economic bubble, not a shortfall with reduced supply of goods for the reasons we see.

If people had money and were entrepreneurs, they would create trucking companies, new businesses ... is that what we see?

The simple printing of money that me and you have no access to as consumers does not seem to affect any of this, this is why I am confused


58 posted on 06/15/2022 5:59:19 AM PDT by RaceBannon (Rom 5:8 But God commendeth his love toward us, in that, while we were yet sinners, Christ died for )
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