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The fun thing about this economic situation is that it would normally work itself out. Money runs out or runs low for government benefits, the benefits paid go
by brightball 4y ago
The fun thing about this economic situation is that it would normally work itself out.
Money runs out or runs low for government benefits, the benefits paid go down and people go back to work. The problem self resolves due to the money supply.
Now, instead the same thing happens but we print more money, causing inflation. Cost of goods goes up. People need more money to survive and the cost of labor goes up…which further drives up the cost of goods. But the way our government benefits work, if you go back to work you lose them in many cases.
The inflation cycle is dangerous and it only happens because once you vote in dependency programs you can never vote them out.
It’s made worse because of the benefit cliffs that make people want to stay below certain income lines to avoid losing the benefits that come with it.
It’s a situation born entirely from far too much government intervention.