Between January 2020, and January 2022, “the United States has printed nearly 80% of all US dollars in existence.”
We all know that public education has not really taught math skills in recent times, but is there no-one that still knows simple math?
I like illustrations that reduce the complex to its root components. Principals are principals, like “what goes up, must come down.” You can argue all day about the reasons why you might disagree with this principal, (or natural law,) but if you throw an item into the air, it will be laying on the ground in seconds.
Other principals, (or natural laws,) may take longer to prove themselves, but proof themselves, they will, if we will honestly observe.
In the 1920’s, Americans believed they were financially invincible. The US stock market had been growing at an astounding pace, encouraging many Americans to try for a piece of the pie. Many had borrowed against their own personal equity, and, ‘invested,” in ventures, including the stock market, making them incredibly vulnerable to volatility in the market.
It was simply a matter of time till fearful tendencies might appear. When they became appearant, many people panicked, causing a snowball effect that quickly plunged the economy into what devolved into the Great Depression.
This is a simplification, but it is a matter of demonstrable fact. The poverty, death, and destruction wrought upon the American public, and extending to global proportions was heart breaking, and long-lived.
Today, this account is but a fiction to many Americans. They have no experience of such calamity. They see no connections between the cause, and effects of delinquent financial policies.
People are reluctant to think about what it means when they learn that the Federal Reserve increases the amount of US currency in circulation by 7 trillion dollars. We ignore the proportion of this fiat currency to that already in circulation, thus ignoring the devastating effect on the value of the money that we have already earned.
The money that we possess at any time is directly connected to the goods and services we have provided to others, but this new 7 trillion has been extracted from the American wealth created. It is not “new wealth” it is not wealth that has been created by the FED, but American wealth that has been stolen from Americans by economic sleight of hand, after it had been created.
All of the economic, and fiscal policies that are taught in our institutions of higher learning are designed to, “hide the ball”
They are simply distractions of the right hand, while the left hand is extracting the wealth from under our noses.
As long as Americans entertain the deceptions perpetrated on us by, “economic experts,” the American economy is in danger.
There is an answer, and it is a simple answer. It will not be painless, but it will be effective. It will not make the recovery quick, but the recovery will be thorough.
Literally stop the printing, and digitizing of currency, immediately, and permanently. That will eliminate future inflation. It will not correct for passed inflation, but neither will any other scheme.
Most of the financial instruments that so many study in economics classes include a mixture of currency manipulation, and interest rate manipulation, applied to manipulate the free market. The bottom line is that they are not honest, they are not effective, and they are destructive, to varying degrees.
As Jesse Kelly likes to say, “it might make you uncomfortable, but I’m right.”
God bless you, Dave