Inflation starts and ends with central banks. It is not caused by business. From Doug Casey at internationalman.com:
International Man: Thanks to rampant currency debasement, the price of everything has gone up recently.
As the pain from inflation becomes a normal part of life in places like the US and Canada, there are growing calls for politicians to “do something.”
Recently, Canadian Prime Minister Justin Trudeau threatened to tax grocery stores if they don’t lower their prices, accusing them of causing inflation and profiting from higher prices.
What’s your take on this?
Doug Casey: Trudeau epitomizes, in many ways, all that’s wrong with the kind of people who go into politics. Things are as expensive as they are partly because taxes take 20% or 30% of everybody’s income when they earn it. Then, when they spend it, they pay another 10%, 20%, or even 30% in sales taxes and VATs. Add on the burden of regulations, which add to costs while decreasing the amount of production.
Taxes and regulations are disastrous. But the big thing is currency debasement. Governments are printing up money by the bushel because they believe in Modern Monetary Theory—paying for what they want by simply printing money.
People like Trudeau are the reason why food prices, and all kinds of prices, are as high as they are.
