These variables do contribute to an increase in inflation in a country, starting with their currency depreciating against the currency of the nation from which they borrow money or from which they buy products since they must convert it before buying the items they want.

If the government begins to borrow money from other nations, it is a sign that they are losing their moral authority because they are unable to generate enough income to meet their needs. Furthermore, taking on too much debt renders a nation economically helpless because its leaders will be preoccupied with finding ways to repay their debt rather than developing productive ideas, which will ultimately lead to the collapse of the nation and make life difficult for its people.