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Some moderate level of inflation is a pretty basic economic principle. Too much and you cause some problems but none or negative and you see a whole host of oth
by pc86 3y ago
Some moderate level of inflation is a pretty basic economic principle. Too much and you cause some problems but none or negative and you see a whole host of other issues.
That's like saying the fact the first couple payments on a loan are almost all interest because of a conspiracy among politically active bankers, when in actuality it's because that's how math works.
- deleted 3y ago[deleted]
- lotsofpulp 3y agoYes, small positive inflation is better than any negative inflation. But the inflation in land/education/healthcare is quite a bit more than that.
- WalterBright 3y ago> Some moderate level of inflation is a pretty basic economic principle The US had zero net inflation from 1800 to 1914, and fantastic prosperity.
- maraphon 3y agoUS property owners enjoyed vast expanses of unexploited resources to tap and legally protected exploitation of whole classes of people to help them do so. I hope you are not claiming that that (limited) prosperity wasn't generated by wiser and more humane policies than today's.
- maraphon 3y agoEdit timer expired before I noticed and could correct "wasn't" to "was" here.
- WalterBright 3y agoThe US saw an enormous improvement in the average standard of living of Americans in its first century. Scores of millions of people moved up from poverty into the middle class. This happens in every country that tries it. For an example of an economy entirely focused on resource extraction? The Arab oil nations. For examples of highly prosperous nations that have no resources to speak of? Japan and S Korea. With free markets. BTW, it wasn't possible in the 19th century to have a 40 hr week and vast welfare payments. The productivity wasn't enough to fund it.