3 ms·

this is just a regular reminder that this is by design. https://archive.nytimes.com/krugman.blogs.nytimes.com/2010/02/13/the-case-for-higher-inflation/ https:/

this is just a regular reminder that this is by design. https://archive.nytimes.com/krugman.blogs.nytimes.com/2010/02/13/the-case-for-higher-inflation/ https://archive.nytimes.com/krugman.blogs.nytimes.com/2010/0... "in the long run, its really really hard to cut nominal wages. [without] inflation, a significant number of workers take wage cuts" basically, inflation is a way to cheat all laborers out of their earned wealth so that the management class doesn't have to make hard decisions about who to keep.

mritterhoff 2mo ago
That might be a side effect, but I'm doubtful it's the cause. The main cause as I understand it is that the govt prints money to offset the gap between what it collects in taxes and what it spends.
- dnautics 2mo ago
  That's not really right either. think about it this way: what would happen if the budget was balanced and the us suddenly had a surplus? you HAVE to print money, where is the interest on debt going to come from.