Man Made Unemployment part 2

  What causes inflation isnt the fact that the money supply is not backed. Even if the money supply was backed by a commodity such as gold and silver, there can still be inflation. If the gold and silver supply increases at an annual rate of 30 percent a year thus allowing for the expansion of central government bank notes by also 30 percent a year. That would be 30 percent in inflation all things being equal. The only way to prevent consumer prices from inflating would require that there be an increase in the supply of consumer goods by 30 percent to suppress the increase in monetary expansion.

  The increase in consumer goods must be domestically consumed. It can not be exported or dumped into the middle of sea. If those goods are exported or sacrificed to a giant wicker man, those consumer goods become unavailable to suppress domestic consumer prices.

  To return to the original purpose as indicated by the title. Unemployment is man made. It is the manipulation of the fiat money supply that creates unemployment. When ever the money supply contracts. There becomes less money available for the recruitment of labor. And when the money supply expands, there is more money available for the recruitment of labor. Thus employment is manipulated through the expansion and contraction of the fiat money supply.