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Spending can't cause inflation as there's no increase in the money supply, and so prices can't uniformly rise as there's not the actual physical cash to pay all
by lupin_sansei 18y ago
Spending can't cause inflation as there's no increase in the money supply, and so prices can't uniformly rise as there's not the actual physical cash to pay all those higher prices.
- moocha 18y agoSure it can. both trade deficit and expectations of inflation play very important roles.