"Central bankers: Inflation is the fault of a thousand things, except your monetary policy"
The Russia-Ukraine conflict, greedy corporations, workers demanding raises and a thousand other things are to blame, but their money printing has nothing to do with it. They will never admit that massive money printing is the cause of these problems.
Money printing caused prices to go up, because money printing (QE) literally is inflation. Prices going up is not inflation, it is a common effect of inflation. Inflation is what happens BEFORE prices go up: it is the artificial increase in the money supply. Increasing the supply of dollars decreases the purchasing power of each dollar.
You don't need a PhD in economics to understand this. Look at the relationship between increasing dollars and the incentive to invest in assets (S&P500).
Artificially increasing the money supply created a bubble in all assets: real estate, stocks, bonds, cryptocurrencies. Now that interest rates are rising (to try to fight inflation), many bubbles have burst, setting in motion the last phase of the economic cycle explained by Ludwig von Mises.
When the U.S. abandoned the gold standard for good in 1971, debt began to increase exponentially. The current crisis originated on that fateful night of August 15, 1971, when Richard Nixon went on national TV to say that the US government was going to suspend the convertibility of dollars to gold "temporarily".
That "temporary" government measure has been in effect for almost 52 years.
During that entire period, inflationary government spending has quietly stolen people's purchasing power... while politicians and central bankers blame businessmen, labor unions, OPEC and a thousand other factors for something that is caused by the deficits run by the former and the monetization of those deficits by the latter.
Inflation is a government tax. It is an invisible tax, where the government does not take your money but the purchasing power of your money. That is why it is the most immoral tax of all: because almost nobody understands it.
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