I dunno I think there's probably been one or two "honest" inflations where a vendor has seen her costs increase and has only raised her prices just enough to cover those increases.
But yeah, I bet the majority of inflation has been rooted in avarice by shareholders and owners.
I mean there are other factors, but at the end of the day prices and wages are set by capitalists. So, it is ultimately a conscious choice of business owners to raise prices. Wolff does a pretty good job summing it up in my opinion https://www.youtube.com/watch?v=Cl1MXJZ6yOY
He starts by saying that's the first thing to consider and then instead of going on to other points just starts using his spooky scary voice to say it over again. I find that presentation style hard to trust
My critique is he makes one assertion and backs it up with style instead of actually developing or analyzing it. He takes a single basic observation and uses it an a blunt instrument. Sellers set prices. Brilliant observation. Don't bother looking into why, just feel upset about it.
It's like he sees an apple fall from a tree to the ground and declares "That tree threw an apple at the ground, trees hate the ground!" Ignoring outside forces completely.
He's not wrong on individual points, but the whole thing is incredibly myopic.
I mean inflation is literally a product of people who own businesses deciding to raise prices while depressing wages. So, it does largely come down to price gouging in a very real sense.
That's... Not what inflation is.
You have been watching half-arsed videos on YouTube by people who never really learned a single thing about economy, haven't you?
Inflation is the devaluation of money which happens because the pool of money constantly grows (super oversimplified here), which it has to because otherwise, we'd face a deflation because the money pool would constantly shrink due to savings and such. Deflations can wreak havoc with economies and cause great misery all around. The "great depression" was a deflation. Look up how that turned out. That's what the constant inflation rates of around 3% are meant to prevent.
There is no cabal of businessmen deciding to raise prices and seoress wages and then selling that as "inflation".
Well then, mr. economy understander, maybe you can explain to us who raises the prices. Saying that money devaluates because more currency is being issued shows an utterly infantile understanding of how the economy works on your part. Money doesn't just magically lose value just because more currency is issued, as anybody who has a clue regarding how monetary systems work would understand.
Also, not sure why anybody would think a cabal of businessmen deciding to raise prices would be necessary. A rational person would understand that businessmen can have a shared class interest while acting completely independently. Businesses raise prices because they want to increase their profits, there's no grand conspiracy needed. The fact that you can't even understand such basic things suggests that you're in no position to deride actual economists just because they happen to use the medium of youtube to explain things.
It is a conscious decision by those who print money. I don't think you even googled it or know what it is. You too can be an economy understander with very little effort if you were so inclined.
Imagine not understanding that large financial capitalists are in fact the ones who own the money printers. You too can be an economy understander with very little effort if you spent a bit of time actually understand about the subject you're opining on.
You're wrong about almost everything you believe and you should educate yourself rather than protect your ego. Feeling right is candy, learning is sustenance.
Why would you be offended? Why not just consider it possible and learn things? Why default to ego protection when you can default to growing as a person?
Because I've seen what you have to say, and it's pretty clear there's not much to be learned here. Perhaps you should take your own advice and try to learn things instead of running around smugly arguing with people who know more than you on the subject.
You're correct that inflation is the devaluation of money. The value of a unit of money is represented by what that unit can buy, so the person you replied to is also correct. This is why the most used indicators of inflation are measures of buying power.
If my money is devalued, it means that when I was able to buy 1 gallon of milk, I can now only buy 3/4ths a gallon with the same amount.
So while you're correct in your over simplified example that inflation can be caused by the growth in "pool of money", as you alluded, it is not that simple and its not the only cause. Moreover, inflation still manifests itself in the form of prices increasing. If pool of money grows, but prices remain the same, there's no inflation.
This does not necessitate a "canal of businessmen" conspiring.
Thats what im saying. Inflation is not what happens when people price gouge, but it provides a convenient way to hide a little gouging here and there when prices have to be adjusted for inflation anyway
