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Consumer Price Inflation Equates To Economic DEFLATION: Shortages are the first sign of economic COLLAPSE, shortages of labor, goods and services are being normalized – December 29, 2021,

Posted on December 29, 2021 by RichInWriters

Consumer Price Inflation Equates To Economic DEFLATION: Shortages are the first sign of economic COLLAPSE, shortages of labor, goods, and services are being normalized – December 29, 2021,

I like to remind readers that prior to the Venezuelan Bolivar hyper-inflating shortages were being normalized in Venezuela, what caused the shortages in Venezuela was their governments’ fiscal policy as well as their government regulations on the private sector. Most people don’t imagine government regulations to be that big of a deal, but government regulations are a big reason why most businesses go bankrupt.

A lot of people imagine goods and most services come from the government, when in fact our standard of living comes from profit-driven business people looking to make money. You might not like a market economy, you might think it’s inhumane or cruel, but to date, there is nothing that creates wealth better than a market economy. When the government seeks to redistribute money and resources it creates ECONOMIC DEFLATION, economic deflation creates shortages and shortages create scarcity.

Now in response to shortages, governments who have control over the money supply then create more money in hopes that giving people more money will help to stimulate the economy and solve the shortage problems, the problem is that the regulations on the economy are the real culprits of economic deflation and because regulations are often an afterthought it sometimes takes decades before austerity measures are even considered.

In Argentina and Venezuela, most of the people would like to solve the economic deflation problems but they’re unwilling to cut government regulations. Poverty starts in the mind and poor people are often STUBBORN and this is why a Big Federal government is always a bad idea. With that said, although the signs are there, I’m uncertain what the future holds, I hope for the best, but I don’t hear too many people talking about austerity measures, which is a sign to me that economic deflation and price inflation will be around for a long time!

Biden-backed antitrust crackdown could worsen inflation, Larry Summers warns | nypost.com

Interesting times ahead!


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