Wednesday, October 9, 2024

No interventionist government or central bank wants lower prices.

No interventionist government or central bank wants lower prices because inflation allows the government to increase its power while slowly breaching its monetary commitments.

Interventionist governments never reduce consumer prices because they benefit from inflation, dissolving their political spending commitments in a constantly depreciated currency.

Inflation is the perfect hidden tax.

Many citizens want more government control of the economy to curb rising prices.

The government makes the currency less valuable by issuing more units of fiat money, partially dissolves its debt in real terms, collects more taxes, and presents itself as the solution to rising prices with subsidies in an increasingly worthless currency.

If you want lower prices, you need to give less economic power to the government, not more.

Only free markets, competition, and open economies help decrease consumer prices. 

https://www.dlacalle.com/en/no-interventionist-government-or-central-bank-wants-lower-prices/

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