Uh, but the price will rise because of the higher demand. It's the fundamentals of demand and supply. I mean, if a hundred people would desperately want something that costs 10$ and there's only one item left, you think that nobody of them would buy it for 11$ or even 20$? — ssu
Some of us think inflation happens when you print too much money, or simply create from nothing new debt to pay back the old debt. — ssu
I assume you've never had the time or interest to learn economics. Or business.What someone would be willing to pay(what the product is worth) is irrelevant to the point. Completely. — creativesoul
When you do get it, you don't.All sorts of money printed. No inflation to speak of. What more does one need to prove that printing money does not cause inflation, than a time when it was printed and no inflation resulted? — creativesoul
Yet you aren't on the barricades, are you? Is anybody else?Do you think the fed will be content with 5% inflation? That's a little high for most folks. — RogueAI
They can vote for a populist or whatever, but unfortunately retirees aren't going to be on the barricades either. Older people will just suffer and take it. And I feel really bad when seeing retired people working as the cashier in a supermarket.Don't forget the retirees on fixed income. — jgill
How about a mind experiment?Ah... so ad homs supplant argument, valid objection, or adequate explanation.
For whatever it's worth, your assumptions about me are as wrong as your attribution of cause concerning inflation. — creativesoul
Printing money to provide stimulus in 2009 did not result in inflation(that's not the only counterexample either). Printing money in 2020 to provide stimulus purportedly did. — creativesoul
I'm denying that printing money causes inflation. — creativesoul
The underlying economic problem is profit-price inflation. It’s caused by corporations raising their prices above their increasing costs.
Corporations are using those increasing costs – of materials, components and labor – as excuses to increase their prices even higher, resulting in bigger profits. This is why corporate profits are close to levels not seen in over half a century.
Corporations have the power to raise prices without losing customers because they face so little competition. Since the 1980s, two-thirds of all American industries have become more concentrated.
No.Do you really think that the addition of the money alone is the cause of inflation? — creativesoul
That doesn't make sense. Every American gets the 100 million. Some Americans are those "sellers" you refer to. Who are these mystical "sellers" you refer to?Let's do...
Add to the hypothetical one caveat... it's all done in secret. Sellers have no idea. — creativesoul
Purportedly? At least that's better.Printing money to provide stimulus in 2009 did not result in inflation(that's not the only counterexample either). Printing money in 2020 to provide stimulus purportedly did. — creativesoul
If you give it to people, inflation will happen sooner or later. Just as the example of giving 100 million dollars to everybody shows. — ssu
That doesn't make sense. — ssu
I think you didn't read my answer to the end.no sellers knew how much money the buyers had, then there would be no increase in consumer cost. — creativesoul
Likely someone wanting a Ferrari would try to give him more than the asking price. Because why not? — ssu
Inflation IS an increase in retail price/consumer cost. — creativesoul
The cause of inflation is the desire to maximize/increase profit. I personally like for the demand to be higher than I can meet. I do not raise my prices. I have people waiting in line. I could raise the prices. I don't. Does that make me a bad business owner? Some may say so. I'm content and satisfied with what I can make at the prices I have. — creativesoul
With rising interest rates, it's going to end (if it's still going on).Sure, that's exactly what was happening in the housing market, and perhaps still is. — creativesoul
I can agree with that. But the aren't only greedy sellers.There are greedy sellers... that's not a fiction. — creativesoul
A social overhaul would be necessary for that to be meaningful to anyone. In other words, you're stepping out of your time in history to make that observation. It gets lonely analyzing the earth from a vantage point on the moon, so it's a rare insight. — frank
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