Inflation is because the government prints money
This increases the money supply and makes the value of each dollar less
More of something = it is worth less
I agree. And I said that they dilute the dollar when printing money. Supply and demand, too much money in circulation and not enough goods available to buy.
But printing money is not the single and only reason for inflation.
The government also has borrowed 100's of billions from China. That's where the covid money mostly came from. Yes, their printing money to pay it back, well some of it, but they released those 100's of billions, actually trillions, in a relatively short time, a few years, into the market. They couldn't print it that fast.
And 100's of millions, perhaps billions of that covid money is still just sitting in bank accounts somewhere. State, city governments are sitting on some of it, teachers union are sitting on some of it, etc. So there could still be more inflation to come, or not go down, depending on how much is being held back from the market and how fast it gets released some day?
And when crude goes up, the price of everything goes up, that's inflation too. If the price goes up on something it's price is inflated.
They've been printing money all along, but when these other 2 things were added to the mix at the same time, we got hit with record inflation. Highest it's been in what 60 years?
It seems the elected officials don't care about inflation because they have enough money to be effectively insulated from it and don't even feel it.
We are on the path, by printing money, to needing a wheel barrel full of paper dollars to buy a loaf of bread. We're coming up very quickly on the $35 trillion mark.
