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BasileusLeoIII t1_iuizso1 wrote

cannot believe that people are unironically pushing this narrative

that companies have somehow gotten together and utterly beaten centuries of microeconomics, shifting the supply/ demand curve across the nation to raise the prices they charge for goods and services

No, inflation is currently being caused by the unprecedented and untenable amount of money the Federal Reserve is printing, or put more succinctly, the Money Supply

Absolutely reckless federal spending, and a skyrocketing deficit due to tax incomes not even approaching spending rates, are causing inflation, coupled with major supply chain issues

The dollars in your bank account are worth relatively less, because there are suddenly so many billions more of them in circulation

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Dryheavemorning t1_iuj1pwa wrote

>Absolutely reckless federal spending, and a skyrocketing deficit due to tax incomes not even approaching spending rates

Japan spent comparable amounts on Covid stimulus and also runs a big deficit but doesn't have bad inflation at all.

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TiberiusDrexelus t1_iuj23b1 wrote

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a-german-muffin t1_iujdyix wrote

>Since the late 1990s, a succession of governments favored a weak exchange rate to boost exports. Tokyo is now losing control over the yen as the Federal Reserve hikes rates.

It ain't just the last two years tanking the yen.

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