We've all heard the term "inflation" tossed around in the media over the past few years like a political football.
To be clear, inflation occurs when the supply of money is expanded beyond the production of goods and services. The most common ways we've seen the supply of money expanded is when the FED uses their "tools" to either lower interest rates, or implement quantitative easing (QE). The bottom line is both of these "tools" expand the supply of money, and used together floods the economy with money.
While on the surface flooding the economy with money might sound like a good option, the brilliant economist Thomas Sowell has stated, "There are no solutions. There are only trade-offs."
This article by
@zerohedge , and graphic by Visual Capitalist's Marcus Lu, does a great job of showing the trade-offs of expanding the money supply over the past 115 years.
Many have been led to believe everything costs more in 2025 because greedy business owners just can't control their temptation to exploit their customers, and capitalism is evil. To the contrary, it's the dollar losing it's purchasing power because of inflation is why it now takes more dollars to purchase the same item that required less dollars to purchase not too long ago.
Visualizing The Declining Purchasing Power Of The US Dollar | ZeroHedge
ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero
