3 ms·
> It's not just the increase of the money supply. It's the increase of the money supply faster than the "stuff" of the economy increases. This. Inflation alway
by JackFr 3y ago
> It's not just the increase of the money supply. It's the increase of the money supply faster than the "stuff" of the economy increases.
This. Inflation always is too much money chasing too few goods. Secular shortages give you too few goods. Loose monetary policy (or fiscal policy) give you too much money. (A tight monetary policy can immunize effects of a loose fiscal policy - if there is institutional will.)