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/biz/ - Business & Finance

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50645910 No.50645910 [Reply] [Original]

>Crate of Hotdogs (2020): $100
>Crate of Hotdogs(2021): $110 (10% inflation)
>Crate of Hotdogs (2022): $128 (10%+7% inflation)
If FRED gets 2% inflation in 2023 a crate of hotdogs would be $130 ($128 + 7%) and they would say that they've done their job.
Why isn't FRED bringing inflation to -22% so that we have hotdogs at $106 instead ($100 + 2% +2% +2%)?

>> No.50646694
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50646694

Inflation is caused by too much money creation.

All money is created digitally by private banks when they issue loans.

Therefore the privately-owned, bank-created money system is responsible for inflation.

Proofs at:
bankLIESdotORG

>> No.50646709
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50646709

Banks create the entire money supply. And banks are 100% responsible for inflation, hyperinflation, and recessions.

>> No.50646716

Because their goal is price stability, not rapid inflation or deflation. Economies struggled to grow without price stability. The prices of most things are never coming back down, you just need to hope you get a 90th percentile job so you can continue to afford the things you want in life.

>> No.50646721
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50646721

Private banks create and control the money supply. When too much money is created by these people, we get inflation and hyperinflation.

>> No.50646736
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50646736

Private banks create all money, NOT government.

Inflation is caused by too much money creation.

Since banks create all the money, they are to blame for inflation, hyperinflation, and recessions.

>> No.50646745
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50646745

When you borrow from a bank, the money is created digitally AFTER you sign the loan contract.

The entire money supply is created this way; by PRIVATE banks.

Too much bank-created money creates inflation and hyperinflation.

>> No.50646746

>>50646694
I agree that banks create money with loans, but what about when the federal reserve buys bonds from the treasury through a third party?