2 ms·
If people decide to work less then you have even more price inflation. Not only are you increasing effective demand by injecting more money, you're also decreas
by nybble41 8y ago
If people decide to work less then you have even more price inflation. Not only are you increasing effective demand by injecting more money, you're also decreasing the supply.
The only way prices stay the same, or decrease, is if productivity increases in line with the extra income.
- rymohr 8y agoAssuming output is tied to hours. As we move away from industrial employment I'd expect that relationship to weaken.