Quote from: Silberman on Today at 05:09:21 PM

Quote from: Fesatmas on April 28, 2023, 02:09:16 PM

Quote from: bettercrypto on April 24, 2023, 05:53:08 PM

Almost all countries around the world are facing inflation problems. It just depends on the skill of a leader as to how he will find a way to control the price in the market from basic commodities and others.

Every country cannot avoid it either. that is why the rate of each country's currency is different because of the inflation they face.
So if the leader of a country is careless, for sure the value of their currency will fall.

There are so many factors why inflation occurs, so it's not just the fault of the leaders who are careless or the negligence of the leaders, everything that is happening like what we are feeling today is because of the covid pandemic, all governments allocate state budgets for development and others pile on solving one problem namely covid and apparently most governments couldn't solve it with the amount of money they had at the time so they were forced to print more money to deal with it. the circulation of goods became scarce because production activities were not running which prevented money from circulating as it should be in the normal cycle but only focusing on a few needs, this also pushed up inflation.
Today there are still many governments suppressing inflation in their respective countries, including the US, which is said to be in a position to fight their very high inflation.

Governments are trying to mix the definitions so people do not blame them for what is obviously their fault, when the price of a set of products goes up there could be many reasons why this is the case, like scarcity of the product, delays on the production or the delivery, a sudden increase on the demand and so on, but those effects are temporary, inflation is an increase on the money supply and its effects are permanent as governments never make an effort to decrease the money supply once they have increase it.

I completely agree with this statement. Inflation is often falsely attributed to temporary market conditions or external factors, when in reality it is caused by an increase in the money supply by governments or central banks. This is a form of financial manipulation that can have far-reaching consequences for everyday citizens and the economy as a whole.

When governments increase the money supply, it devalues the currency, which can lead to rising prices for goods and services. This erodes the purchasing power of people's savings and can hurt low-income individuals the most as they struggle to afford basic necessities.

Governments and central banks may use inflation as a tool to stimulate the economy or pay off debts, but it comes at a cost. It can lead to economic instability and even hyperinflation in extreme cases.