Quote from: Faisal2202 on May 05, 2023, 08:44:26 PM

Quote from: Davidvictorson on March 06, 2023, 04:58:55 PM

Why does inflation in one country or continent affect the others. Why does it seem like the whole world is experiencing a global economic downturn all at once despite having different economies, different policies, different politics? Here's what I mean from these news headline

The answer to your query is very straightforward, Out of 195 countries 65 countries are using US dollars as the national reserves. (it could be more). The point is, Devaluation of the US dollar will cause to decrease in the value of national reserves as well and they will bleed with the US dollar. As it is happening right now.

People in my country are earning in PKR and their wages were incremented from 25k per month to 30k pkr (lower wages for labor). While the overall international market is earning more but the prices are almost the same. Which increases inflation. The financial system of all over the world is broken because big investors (4%-5% of the overall population) are controlling them.

Banks are making it easy for people to borrow more money and more money in the hands of people causes more demand of supplies which increases the prices (inflation) plus to meet the gap banks increase the interest on the loans which in return effects the overall economy in the long run if proper practices were not adopted (by the government) which results in bankruptcy of Banking system and USA dollar will start to bleed and other 65 countries will also bleed with them.

Inflation, the ultimate leveler. Rich, poor, young, old, lefty, righty – doesn't matter. A global uniter, pushing us all into a monetary battle royale. But who's the culprit? Those pesky banks! Greedily snatching toys like playground tyrants, then selling them back at a premium. Big-shot investors? Don't get me started! They're like puppeteers in a cosmic play, setting the world ablaze. But hey, at least we're in this together, right? So let's unite, combat inflation and topple the mighty. With teamwork, we'll shake things up!