Tax the rich, inflation is nothing more than further greed

Tax the rich, inflation is nothing more than further greed

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Well, inflation is essentially the surplus of money, right? The more money that is freely flowing within a society, the less value it has. Simple supply and demand. For example, if I have 100 gallons of water in a drought, that is worth everything to most people. But if I have 100 gallons of water during a period of healthy rainfall, my water is worthless as it's abundant.

>1 of 2

>2 of 2

Same applies to money. So the more we print, the less it's worth.

Largely, money is printed by the Federal Reserve to sustain debts, but also to fund earmark projects proposed by our Government, as well as to bail out banks and insurance companies rather than hold them accountable for their shitty practices. However, the single largest contributor of inflation is the banks creating capital out of thin air via interest.

When you buy a home mortgage, the bank charges you interest. But the bank will also bundle hundreds of mortgages together and sell those to equity firms, such as Freddy Mac, who are also charged interest. FM will get these bonds backed by the Government so that if the bank fails, the Government bails them out. But the Government wants securities on their backing of FM and these bonds, so the bonds are handed over to foreign investors.

This is why America has billions of dollars of property owned by Indian, Chinese, German and Russian businessmen. Ever wonder why every gas station and corner store is ran by Indians these days? Or why we heard for years on end that China was buying up real estate? That's why.

So when you compound compounded interest that is being compounded and backed by the Government who doesn't even own the debt anymore, that all magically creates a surplus of capital and debt out of thin air.

So the true cause of inflation isn't the Government "printing money". It's the banks trading pieces of paper bundled up into portfolios back and forth.

It's like if I said this sheet of paper was worth $10 and I had it to you. I say pay me back $12 after a week and give it back to me. But two days into it you tell your buddy it's worth $12 but they can have it for $15. Then they trade it for $20. Then $30. Then $100. But it isn't worth $100, it's worth $10. So where did that $90 value come from?

>Nope I was wrong. This is 2 of 3.

>Okay, 3 of 3 and last post

From here, someone has it for $300 and panics. So they call Daddy Government and cry. The Government tells them it'll be okay, gives them $200 of the $300, takes the paper and gives it to someone in another country and says "This is worth $500."

Eventually that other county will go "Where's my $500? I want to sell this."

The Government shrugs and goes "bruh that's worth $10?"

And now you also understand why America is in "debt" by trillions, especially to China - as they own our factories, pharmaceuticals and real estate.

neither of those contribute to inflation

Thank you, wise user

Trips of truth

yoy are such a faggot for posting that

these people are fucking retarded.

i agree on most of what you said- except the "indians run gas stations because of foreign ownership-"..indians and other foreigners run those stores because it is shitty work for low pay that requires little in way of communication skills- they are not getting any sweetheart deals from from uncle Punjab back in Chennai.

also while the US certainly is the worst offender in such monetary practices, variations of this theme are happening in all developed countries.