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Author Topic: Deflation - Inflation - Hyper Inflation & Interest Rates Questions?  (Read 268 times)
palle11
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December 02, 2020, 12:29:52 PM
 #21

The two that you mentioned are all part of the normal in the economy. You don't expect an economy not to have such in the system. The economy can't have zero factors in both inflation and deflation, they are all fluctuations that happens in the system from time either caused by the government or natural/market forces.
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December 02, 2020, 10:08:56 PM
 #22

The two that you mentioned are all part of the normal in the economy. You don't expect an economy not to have such in the system. The economy can't have zero factors in both inflation and deflation, they are all fluctuations that happens in the system from time either caused by the government or natural/market forces.
Well, because prices of goods and services will never be constant in the first place because of the law of supply and demand, --the product may just be the same but the raw materials and other expenses may have changed because of the availability of supply. I may not be knowledgeable about this but perhaps Government will really implement such an inflation rates target for it is favorable to them because of the inflation tax, the higher inflation rate the higher inflation tax that they can collect as tax revenue and it is applicable to all taxable products and services, the Higher inflation rate for me will not boost the economy for people would lessen their spending and prefer to use it on the basic necessities which would make the economy weak.









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TofuDefi
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December 14, 2020, 12:31:42 PM
 #23

If you are going to nitpick, you need to know your facts. The U.S. government has the legal ability to mint coins. It's in its constitution.

Don't you remember a few years ago when people were proposing the idea of minting a 1 trillion dollar coin?

Maybe you are right. But when did they mint last time? I think that 99,9999% money supply comes from Fed.

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