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To: arrogantsob

“Devaluation of a currency is not a cause of inflation it is a RESULT of inflation”

No, devaluation of currency is inflation, purely and simply. Look it up.


28 posted on 05/16/2011 10:48:09 AM PDT by Tublecane
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To: Tublecane

There is no need for me to educate myself about what “devaluation” or “inflation” are I am quite familiar with them.

When one speaks of “devaluation” generally it is with reference to exchange rates and it the RESULT of inflation. It is an EFFECT of inflation it does NOT cause inflation.

Inflation is an increase in the GENERAL price level and cannot occur without increases in the money supply greater than the increase in productivity.


33 posted on 05/16/2011 10:56:07 AM PDT by arrogantsob (Why do They hate her so much?)
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