Almost daily I hear someone pontificating on the danger of inflation, and what can be done to rescue America from its grip. Radio hosts discuss this very real threat, and they have guests on their program to share their insight into the many facets of inflation. Many of these guests have backgrounds in high finance, from varying professional positions, and they share their knowledge of the problem, from their own personal vantage points. One of these people is Carol Roth, the author of, “The War on Small Business: How the Government Used the Pandemic to Crush the Backbone of America,” Hardcover – June 29, 2021, and other writings on economics.
I Recognize the expertise of these people, and respect their knowledge and insight, but one thing that stands out to me as they pontificate on the way inflation might be addressed. One thing stands out to me, in every case, and with every expert. They never address the cause of inflation, and they never suggest that the answer is to correct the problem at the source. They never state that the Federal Reserve must be either eliminated, or at least be forced to QUIT PRINTING MONEY!
These many “experts,” (and I agree that each of these many experts have particular expert knowledge of the subject,) choose to ignore that the root of the problem is that more and more money is being created out of thin air, and that every new dollar created diminishes the value of every single dollar in circulation. As long as this FACT is ignored, discussions about methods of corrections, center on the periphery. They avoid the real problem, allowing it to increase at an alarming rate. Eighty percent of all American currency in circulation was created in the last two years. This is alarming!
We can see many examples from the passed, and even the recent passed, of fiat currency ruining the economies of nations. A famous example is the Weimar Republic, But more recently there is Zimbabwe, and Venezuela. These societies destroyed their economics by ignoring the cause of their problems, and doubling down on failed economic policies. Documentation of these economy destructions is easily found.
CAN AMERICA’S FATE BE ANY DIFFERENT? I have heard it said that insanity is repeating failed experiments, and expecting different results. We seem to have an entire political hierarchy determined to prove this statement wrong. No one of authority, or who studies our political authorities, appear to be able to accept that Inflation IS fiat currency, and as long as it is multiplied, the problem WILL ALSO MULTIPLY.
Are these people too smart to consider something so basic? Are they really unable to understand fundamentals, or are they afraid to?
I will leave the answer to that question to your imagination. As I see it, the only way to correct the problem of inflation is to stop inflating our currency.
The supply and demand issues emanating from other bad policies, such as shutting down baby formula companies, crude oil pipelines, oil fields, and other important industries are not the root cause of skyrocketing prices. They simply exacerbate an already incredible problem. While these issues are dangerous on their own, it is important to remember that they don’t exist in a vacuum, they are made worse by the diminishing value of currency itself. This diminishing of the value of our currency touches every sing issue of our lives. They make every single financial transaction victim of political theft. The value of each dollar that we have earned, saved, and spent has been divided up, and the lion share has been confiscated by a public/private alliance between our government, and bankers, (AKA The Federal Reserve.)
Feel free to call me names, and tell me how ignorant I am of economics, but it doesn’t matter how many trillions of dollars we discuss, fundamentals are what they are. Principals are principals, and laws of nature can not be violated. Every action will produce an equal, and opposite reaction, it may be masked by forms of deception, but the resulting reaction, while postponable, is undeniable.
STOP THE PRESSES!
God bless you, Dave