Inflation is a result of money creation. When you give money to researchers and scientists to produce innovation. They will take the money they received as a salary and use it to purchase goods and services or to invest in digital or physical assets. Thus you get inflation. If a scientist takes his salary to purchase a second home, then that creates property inflation.
In order for the private market to flourish. The government and banks must be willing to loan and give grants to the private sector. This is because all money is derived from the state. There is no such thing is private sector money. All money is government legal tender.
A bubble only pops when it is intentionally popped. A bubble is simply inflation. When you continue to pour more money into finite assets. The value of those assets will continue to rise. Until the government expresses intent to reduce the money supply thus creating more assets than there is money. Then prices fall as asset values begin to decline.
It is a real shame that so many Chinese americans can be so intellectually retarded.
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