Color me nuts or just a fruitcake for questioning the obvious.

Inflation is defined as the rate of increase in prices over a given period of time.

It is the economic reaction between offered goods and the demand for such goods. The higher the demand for goods that are not available the higher the pricing for these goods. You want them, you pay more. The higher demand for unavailable goods therefore makes their pricing escalate and right there you have inflation. The cost of living increases meaning inflationary events are dominating the marketplace,

During inflationary times the value of money decreases, creating a demand for more available currency. The cost of money then increases and the interest rate increases along with these fluctuating factors. All of the above has happened before and will continue to happen in a “free” market.

The value of money decreases creating an inverted curve between currency value and the cost of money.

The current world situation shows a broken supply chain. Goods are rotting or just languishing in trains, docks, and ships all over the world while stores are empty. There is no dog food in Costco, a wholesaler. This same scenario is repeating everywhere.

The desired goods exist. We have the funds to purchase them but we are being denied access by this broken supply chain. Open your eyes. The higher cost of everything is created by corporations and will benefit corporations’ bottom line. Why should they go through the trouble and expense of selling “one item” of anything when they can sell “one item” for the price of two?

Corporations and governments without accountability are hiding behind this created inflation to continue to pad their income. Inflation is a bad thing for consumers but gravy for corporations.

The con is on us.

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Learn more about finance terms at Investopedia

Categories: Finance

3 Comments

Debi Willis · December 11, 2021 at 11:59 AM

Shared this with Bill today. You are WAY AHEAD of us in understanding the mechanics of inflationary response but we do know we pay a whole lot more for the same things we bought last year.

    Mercedes Jenouri · December 11, 2021 at 12:40 PM

    Remember Trumps cadre dismantling the US Postal Service last year? It wasn’t only about the mail in votes.

    Mercedes Jenouri · December 11, 2021 at 12:49 PM

    Hi Bill. I wish you were my neighbors. Anyway, I watch these events happening and media doesn’t touch it. Since keeping silent isn’t an option I blab away on my blog. It lowers my blood pressure. Try reading about Dr. Craig Wright. I’m in awe of him.

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