4 ms·
So this is the crux of the problem. Someone is wrong. I’d say it is a major factor of over supplying the market with capital. You’re saying it isn’t?
by verelo 4y ago
So this is the crux of the problem. Someone is wrong. I’d say it is a major factor of over supplying the market with capital. You’re saying it isn’t?
- acuozzo 4y agoI'm saying that the root cause of the problem is speculation. Price adjusters within companies are using the news of the increased money supply to gamble that customers will pay more and they've been right, so far. There's quite a bit of tacit collusion driving this, of course, but it's also a self-fulfilling prophecy. Price adjusters within companies know that everyone believes that printing money "causes" inflation, so they take advantage of the opportunity.