The False Definition of Inflation
HTML-код
- Опубликовано: 8 сен 2024
- The definition of inflation the Fed doesn't want you to know.
Clip from Episode 600: • 🔴 Trump's executive o...
Invest like me: schiffradio.co...
RATE AND REVIEW the Peter Schiff Show Podcast on Facebook.
/ reviews
SIGN UP FOR MY FREE NEWSLETTER: www.europac.com/
Schiff Gold News: www.SchiffGold....
Buy my newest book at www.tinyurl.com...
Follow me on Facebook: / peterschiff
Follow me on Twitter: / peterschiff
Follow me on Instagram: / peterschiff
“The greatest enemy of knowledge is not ignorance, it is the illusion of knowledge.”
― Daniel J. Boorstin
"I have a car without wheels still is a car, BUY GOLD" -Peter Schiff
It ain't what you don't know that gets you into trouble; it's what you know for sure that just ain't so.
Good one
That applies to a lot of religions that believes in God/Satan.
@@quantumchang4410 satan is a myth, God isn't!
Peter is the voice of wisdom in our society.
I always feel he is yelling at me like a know it all. Winey. He is smart I guess. But rubs me wrong often.
I agree with you. It’s called inflation because the money supply is expanding! Prices rise they don’t inflate.
Price is determined by supply and demand while money supply is not a variable in the equation. Money supply inflation could cause more demand depending who gets the new money and what they choose to do with it, but even increased demand isn't enough to determine what happens to prices because increased demand tends to attract competition which increases supply which tends to reduce prices in spite of increased demand. Therefore a statement about money supply is a statement about nothing since there is no necessary consequence of changes to money supply.
@@bluenami7520 Totally agree with you, amigo. When the money printer went brrr not all the people got the same share. In fact, Trump's paychecks and other federal aids pale against the money directed to Wall Street. I mean, there's no consumption boom coming at all.
@@bluenami7520 But, rising prices is caused by many things, oftentimes from expanding the money supply.
Exactly, I have been saying the same thing also. Inflation is monetary because too inflate something is to expand vs something else ie, a balloon vs surrounding space or a currency supply vs a set production of good and services.
@@AlanDeAnda1
So there is no consumption boom coming at all... And how do you know that?
just going off the gold standard was the most horrible thing to do
The prices of goods and services don't actually go up. The purchasing power of the dollar actually goes down because of the 'money printing'. In 1913 when the Fed was formed, the purchasing power of the dollar was about 98 cents. Today, with a hundred plus years of money printing, the purchasing power of a dollar is around two cents. A dozen eggs is still a dozen eggs. But, a dollar is worth about two pennies. In the same vein, an ounce of gold is still an ounce of gold, and it always will be.
Spot on!
While I agree mostly with this, I find it’s important to ask both “who’s the fed giving the new inflationary dollars to” and “how long’s it going to take to get to a store clerk?”
Both of these are pertinent questions in my eyes, because it shows the more subtle effects of inflation. The store clerk isn’t going to get a raise immediately after the money enters the economy, but you can bet the prices are going to start rising almost immediately.
I can’t stress this enough; I’m no economist. But, at least to me, this is just one more reason to have as little inflation as possible.
@@obviouslykaleb7998 The more money 'they' create, the less purchasing power the dollar has. You have to put down MORE devalued dollars to buy the same dozen eggs. That is the way to look at it. The value of eggs is not going up. Your dollars are WORTH LESS.
If the dictionary has been this revised/whitewashed by government, just imagine what the history books are like.
New speak big brother doing what they do best
This is the same way government changed the definition of assault rifle. Causing more problems understanding issues.
True story, when he Germans invented it in WW2 Hitler actually coined the term Assault riffle (Sturmgewehr) . This is only a historical fact I don't give any opinion about your gun rights and I don't live in America, but maybe you'll find it interesting. Google it. Cheers
Milton Friedman definition- an expansion of the currency supply... the result higher prices because more currency chases the goods and services.. Schiff 1
Former CIA advisor shilling for the government, no way
Not a 'real' advisor.
Most of Rickard's info appears accurate.
@@granden2077 Most of it, but not all of it.
CIA "advisor". Riiiigggghhhhtttttt. I'm a KGB advisor.
Was looking for this comment. You really start to see who the shill is and for who LOL
Wikipedia definition... "In economics, inflation is an expansion of the money supply in an economy over a period of time. One consequence of this expansion can be rising prices as each new unit of money devalues previously existing units." Was this written by you, Peter?
If you check the stats of any central bank, inflation will be the % annual change in the cpi. Go to tradingeconomics and pick any country. Then under "prices" click "inflation rate". You will see the % change in the cpi over 1 year. That is what every economist on earth considers to be inflation.
Bluenami I think that’s why Peter referred to the governments “rigged CPI”. It doesn’t reflect real inflation.
@@williampjohnston53 I agree that the CPI is completely arbitrary, but that's the way every government on earth measures inflation. Every economist. Every website. Millions of people agreed on what a word means and Peter tries to change it.
And if you think inflation is hard to figure out, try the money supply. The fed is not the only one creating money. Any loan made is an increase in money supply. As the stock market goes up it's creating money. As the housing market goes up it's creating money. And much of what the fed is doing is moving debt that already exists to its own balance sheet which isn't creating money at all. And then there's the fact that increases in money supply doesn't mean anything in particular except that the supply of money increased. Prices are determined by supply and demand while money supply isn't a variable in the equation except to the extent that it affects supply and demand, and there's no way to know how that will play out until after the fact when we discover how the new money affected supply and demand.
Bluenami I am puzzled what use economists would have for such an unreliable measure, unless to misinform. A measure that can so easily be manipulated by governments. From what I understand, the CPI does not include housing, energy, or food costs - The three most important costs of all. Or stocks and shares.
So, it seems that governments are free to dilute the value of their currencies by inflating the money supply, without it being revealed in the official inflation figures.
I have noticed in the past thirty years or so, an increasing corporatism throughout the world - “Everything for the state. Nothing against the state. Nothing outside the state”. I feel that many economists are part of this corporatism, as are dictionary compilers.
I have been aware of a number of politically sensitive words having had revised dictionary definitions. I always keep an old dictionary handy for this very reason.
Yes, I am aware of the scandal of money creation in the modern economy - Where money is created by banks out of thin air, as debt. And how this system is used to steal wealth from ordinary people through inflation, to give to banks, corporates and governments. That system is now coming to an end thank God. The Corona virus is being used to cover it up, and to redistribute the wealth. In 2018 they redistributed it to the banks and their corporate pals. Where will it go this time ?
@@williampjohnston53 The CPI is over 40% housing. You can google images of a pie chart of CPI components.
Inflating money supply doesn't always equal cheaper currency. See Japan. They can't even get stock market inflation.
"I have been aware of a number of politically sensitive words having had revised dictionary definitions. I always keep an old dictionary handy for this very reason. " That's true, but I don't think this is one of those words. It was really only applicable under a gold standard where the addition of more dollars diluted their value in gold.
"Where will it go this time ?" I'm a fan of accelerationism, so give them more and more until the protests get too much to bear and then we'll get real change.
CIA motto lie, cheat & steal, Jim hasn’t forgotten all of his training
@Jesse Toms It's not a petty squabble. It is important. Inflation is raging right now. Price inflation will soon follow.
Thanks for Your efforts and your Father's efforts, Peter.
@Jacob Dahl
Good Point. However, I find the more knowledge we share, the more good people we find. Many diamonds are just waiting to be dug up.
I still get angry when I think of how they treated Peter's father while in prison and at the very end when they finally took him for treatment before he died. Downright shameful of them.
I was reading his father's materials and books before I ever heard of Peter, but Peter is carrying on his father's legacy.
@Jacob Dahl
Yes, great points. Do you have any gold or silver ?
@Jacob Dahl
Please educate me, about the terms "stack" and "invest" ?
I've read a few of Jim's books and have watched tons of his videos and interviews over the last 10ish years. I get this feeling like he's using his understanding of economics to manipulate people into believing/doing the wrong things. I almost think it's purposeful.
Most of Rickard's comments line up with Schiff from that interview. Inflation was the only point of contention.
His main message has been to buy gold. Are you saying that’s not sound advice?
@SuperMDemon/ It is "purposeful" or I would say
INTENTIONAL....go back and watch the interview with Rickards and pay close attention to his reaction,(facial expression and body language in particular) to what Peter was saying ! He definitely "showed his hand" as he (sheepishly at first) sat there and tried to defend his argument by saying that they were simply "talking past one another"! Notice that Peter seized the opportunity at just the right moment to point out this very important discrepancy in the def. of inflation and Rickards was caught off guard so he had to make an excuse for why two very economically intelligent guys couldn't see eye to eye on such a fundamental of
of economics! This is the MO (modis operandi) of anyone that is caught in unethical behavior that they believe they can get away with by simply replacing a standard or " landmark" with their own slant on that standard,..... as long as it favors their position! Liberal wackos do this all the time, that's why we are in such trouble in America,.... they keep moving the ethical standards farther and farther away from the "bench mark" until it appears to unsuspecting and gullible people that it's the critical, cynical, and prunish conservatives who are at fault for society's troubles! We need to not be afraid to call them out on their bs and help people see things the way they are in reality! Thank you, Peter for your clarifications in this area! God knows the real truth behind all intents and purposes so to think that there are no consequences for behavior can only be proven WRONG!
@Log Splitta
I could see what you mean.
It almost seemed Rickard's was ill-equiped on the inflation definition. Almost like he was just educated on the definition. Maybe Rickard's will accept the actual definition.
Their endgame was the same.
My favorite part is when you said to “look up a dictionary from 100 years ago”
Peter is the truth, only the people who are biased throw their common sense away because of ego. Keep doing what is right sir, please!
Some of my family memebers dont wana listen to me but soon evrything is gona get worse
Peter, your definition is the only definition that makes any rational sense
Jim doesn't want to be taken out by the CIA, he will comply.
Jim doesn't want to be taken behind the shed by the CIA
Jim is correct.
good one ha ha
I guess their both right depends what dictionary you're looking at lol
Hahaha that’s funny thanks for the laugh
To most people the difference in the definition of inflation seems small and inconsequential. But when you really understand it, the difference is huge and will change your thinking entirely on government spending.
Cats 🐈 out the bag 💼 lol this is why I like Peter because he’s a meat and potato’s guy when it comes to this economy he tells the truth about what’s really going on thank you Peter Oh Jimmy mis interpreted the meaning shame on you Jim lol great interview though
Peter Schiff a thorn in the side of the Fed
Love this new format Peter. It's genius. This will make people listen to your teaching for decades. Going to the history "Net" forever!! Cheers
@@kouta43210 You obviously didn't get it.
I use both definitions but Peter is absolutely right that it perpetuates a misunderstanding about the money supply.
I only use the price related definition when I am speaking to laymen. And even in doing so I always try to add in the fact that price inflation is not ultimate economic inflation.
It’s all no different then when Bill Clinton tried to redefine what “sex” is.
He even tried to redefine "is" if you recall! 🤪
This one is interesting- American Heritage College Dictionary 1997 - “A persistent increase in the level of consumer prices or a persistent decline in the purchasing power of money, caused by an increase in available currency and credit beyond the proportion of available goods and services “
This definition would say that both peter and Jim are right, neither are wrong.
Actually your best argument was this: Inflation doesn't only cause an increase in prices, it can also simply hinder their decrease, too.
For example, cheap slave labor reduces the price of TVs, but an increased demand for them (via excess money supply in the hands of consumers) will cause said prices to increase, nullifying the cheap-labor price points. In this case, consumer prices for TVs are virtually unchanged due to the expansion of money supply, where in fact, they would have been lower without it.
I did agree with Jim's velocity comment, however. You can print a gazillion dollars, but if it's parked in a bank collecting dust, it only creates the *potential for inflation* , but not inflation itself (ie, not until it starts moving).
Excellent comment 👍
@@BatmanBoss Thank you. ☺️
If its sitting in an account not doing anything then prices will not rise as the existing currency in circulation has not yet been inflated. As you say, as soon as its released, this is the point of actual inflation which will cause prices to rise. Velocity of the newly created currency.
Saying "money supply" assumes that money is actually being circulated. If we count things that aren't being circulated as money, then what's the point of counting something that isn't existing in reality? The Fed could claim there is $10000000000000 being kept some place in order to claim that printing money doesn't cause inflation.
Austin Kole Carlisle - I would say , cars on a car sales forecourt do not add to a traffic jam or create more drivers...
This topic has been digging at you lately to make the record straight as to the correct definition of inflation. I'm glad it has because correct definitions result in a better understanding of the facts.
Another one for the "peter schiff was right 2020 edition"
you have to go back to 2008 for schiff to be right
I am from Serbia/ former Yugoslavia, and in a dictionary of foreign words in our Serbian language the definition of inflation is that it is expand of money = creating more money. So you are right Mr. Schiff.
Both are right same result increase money supply causes higher prices.
It’s important to know causation
Peter Schiff I'm so glad you are out there teaching people about economic cause and effect ideas. Thanks for all of your videos/podcasts
You know human common sense is out the window when you need to explain what happenes when you inflate things....
I’d like to thank Peter, from the 2008 ‘Crash Proof’ days, helping me through my Economic classes in college. @Peter Schiff, can you please upload the intro to the Peter Schiff Show? I miss the Obama and Trading Places quotes 😂🙌🏼🇺🇸
I forgot to mention, I was so broke in college that I built my class schedule around the show (where I had to listen to the live version instead of the paid one you could listen to it later). 🤫
This video needs to be played in every elementary school around the world forever...
Yep
Peter Schiff knows his business.
I saw a video with Jim saying that it's all about velocity. If you have an expansion of the money supply but no velocity then there is no inflation (in terms of prices I think). Peter, I'm curious your thoughts on velocity in relation to inflation. Thanks!
Jim rubs shoulders with people sutch as Christine Legaurd. That says a lot about his character!
Government financial data is now useless. They just keep moving the goal posts. Here in Canada they changed the definition of poverty and now say they lifted 1 million people out of poverty in the past 5 years.
You read it yourself. Definition is: rising prices as a result of an expansion of the supply of money. Then the ‘result of the expantion’ is a part of the definition.
Anyway, JR worked for the Cia for decades.
Once a company man, always a company man.
So when they expand the money supply, and then give all the newly created money to the wealthy, and then the wealthy buy stock or gold or real estate or yachts for themselves with the money they got... it really does very little for the overall economy... but it very well might cause the price paid for stock, or gold, or land or fancy boats to increase... this really doesn't do much to help a fast food restaurant worker or a yard mower worker directly.. unless you give em extra money for unemployment because they got laid off or lost many customers... which may help them pay the banks loans they owe rather than just default...
Schiff is the only economist worth listening to.
Mr. Schiff very nice of you to reiterate your point Sir. Much appreciated.
People don't grasp that inflation relates to an increase in the money supply because most of the increase is digital versus physical currency. Fractional reserve banking where you deposit a $100 bill in your account and the bank loans (digitally creates) hundreds of dollars based on that $100 bill is another example of digital inflation of the money supply. If the money supply were once again only the paper notes and coins the dollar would gain purchasing power due to a reduction of the supply of money. Simple economics no longer taught to students at any level. Thanks for keeping truth alive.
You are correct that banks create new money, which means Peter Schiff is wrong at 8:53 when he says it is only the Fed. btw, the money being in paper or digital form is irrelevant.
Richards is wrong and will not admit it. END THE FED.
Inflation is a HUGE concept that needs to be understood!! Nice job as usual Peter! When GDP is calculated, inflation is subtracted from the total to find real GDP. If inflation is understated, then GDP is overstated or higher than it really is! HUGE concept!
thanks for addressing this
Newspeak, control the language and control the minds
Adopting their new definitions of words is to help them memory hole the concepts. You have become Winston from Orwell's 1984.
I agree. I was watching the episode on Kitco... I also looked up definitions and also remember in classes back in the day and I remembered the examples in class.
I’m 50 . When I was a kid in the 80’s I remember learning about inflation ... when they print more and more money .. that’s inflation ... when did that change ???
It was an evolutionary kind of thing.... Using CPI interchangeably.
I have been researching economics and finance for the last twelve years. All with the assistance of yourself, Jim Rickards, Mike Maloney, Craig Hemke, Lynnette Zang; and so many others. Peter, you nailed it in that interview. I have a ton of respect for Jim, but couldn't agree with him on that one.
Cheers. ..respect from Australia
Your spot on. Jim knows this but how does a man tell the truth when part of his income in this case supports him saying otherwise. You have courage. Words mean things!!!!!
Peter, I completely agree with you, you are the man. I think it was Mike Maloney that states that 'you need money velocity to see the effects of inflation' ie. currency creation.
Peter is spot on. It could be argued that falling prices are inflation. If the gov is expanding the currency and deflation is happening at 2%, when deflation should be happening at 5% it would be fair to say there is 3% inflation.
Only in a free world would we ever hear that definition in the mainstream.
Peter, Jim didn't get a chance to speak lmao
Even CPI does not take reality into account. It fails to account for shrinkflation (smaller portions for the same price) I have also heard that in Canada the government works with large grociers to run sales on basket of goods items in order to skew the data.
In the past Liberal was more like Libertarian , it's no longer used that way commonly , it was hijacked . With that in mind I think you were both right & talking past each other some what . The host should have done more to get past that . GREAT Video BTW all 3 !!!
The effect of inflation can be masked by the shrinking and/or reduction in quality of a product. Just compare net weight today of products to same thing 10 and 20 years ago and you'll see you are paying similar prices for less and/or inferior products.
Plenty of printing, but perhaps the strong dollar and deflation occur when trade and commerce become restricted. Dollars overseas are not coming in, Dollars in US, not leaving as much. Discretionary spending reduced, means a Dollar can buy more. Look at boats, airplanes, vacations, etc., all declining in price.
my 1959 Webster says:inflation n. unhealthy expansion of currency or credit,resulting in higher prices. this pocket dictionary has a price on it of $.95c.
Well summarized
The fact of the matter is that, I guess aside from a supply side shock that causes rising prices, you will never get CPI inflation WITHOUT the expansion of money and credit. So whenever people tell me that mmt isnt inflationary, balance sheet expansion isnt inflationary, m2 creation isn't inflationary, etc than I guess there is not such thing as inflation anymore.
I had identical argument with a bitch professor I had to deal with at university. I even quoted Milton Friedman that inflation everytime and everywhere is a monetary phenomenon. She could not get it
Great! I was waiting for more explanation on that.
You should record that with Jim ;-)
Peter u are right,Jim is still a government goon.
These are excellent. Thanks for taking the time to pull these our of the podcasts.
When I started going to university, I became very curios why are still so many people learning Latin, but even more amazed that some texts (Specially some of the University records) are being produced or translated into Latin. The answer I got was pretty straightforward. Contemporary languages are “living languages”, so they evolve and what you write today may be interpreted differently in the future. Latin, being a “dead language” won’t evolve any further, so by keeping records in Latin, they will always carry the same meaning, and will translate accordingly to the words used in the future. (Sorry, English is not my native language)
Wikipedia agrees too: In economics, inflation is an expansion of the money supply in an economy over a period of time. One CONSEQUENCE of this expansion can be rising prices as each new unit of money devalues previously existing units... schiff 1 - rickards 0
Exactly. All these people talking about "velocity" and such are misguided, there are mistakenly trying to create a single link between inflation and rising prices, rising prices is usually the result of inflation, but not always.
Wikipedia definition 2 months later:
"In economics, inflation (or less frequently, price inflation) is a general rise in the price level in an economy over a period of time."
You have proof that someone is changing definitions.
And later:
en.wikipedia.org/wiki/Inflation#Definition
The term "inflation" originally referred to a rise in the general price level rose caused by an imbalance between the quantity of money and trade needs.[34] However, economists today commonly use the term "inflation" to refer to increases in the price level.
Jim is correct
EY Peter!!!
To my knowlege fiat currency is created by the FED and the Banks! Banks is the bigger part of the money creation more then 80%. You always talk about the FED what about the Banks?
You are correct that commercial banks also create money and Peter Schiff is wrong at 8:53 when he says it is only the Fed.
how is the goverment printing fiat currency? isnt the FED an individual entety and not required to follow political agendas?
Unfortunately we use the same (false) definition of inflation in Europe.
European Central Bank: “One speaks of inflation if there is a broad increase in the prices of goods and services, not just of individual items. As a result, you can buy less for €1. Expressed the other way around, a euro is worth less than it was before.”
Need more clips like these from your podcast, this is really good.
Dear Peter Schiff thank you for passing us the true knowledge about financial markets and economics.
Ive been through a lot of financial gurus lately, but I chose once and for all to go with Schiff. His arguments are just so logical
Thanks Peter! I saw the interview with you and Rickards. It was very good. I appreciate you posting this brief recording explaining the correct definition of inflation.
I thoroughly enjoy Jim’s books, but was surprised that he defined inflation as rising prices vs increasing the money supply; I’m glad that the debate between these two gentlemen will ultimately raise awareness about this issue so average people may research the definition for themselves
peter schiff is the best, himself, mike maloney and a few others i listen too really know the truth, and have opened my eyes to the world of money..i mean currencey. inspiration for a nation
Peter is talking about the definition from 1971, indeed the year that the gold standard was abolished. During the gold standard, inflation was indeed the act of increasing money and credit. After 1971, the economy adopted a fiat money system. With fiat money, inflation is harder to be defined, but definitely not by extra created money. Since, if nobody uses that money, nobody will experience any inflating affect of higher prices or lower value of money.
In my home Short Enciclopedia, 1964 edition the entty says: "The loss of value of the circulating currency as a result of expantion of the supply of paper money OR as a result of a sharp decrease of the supply of the goods while the ammount of money in circulation remains the same." So, sir, you're wrong!
Some of Friedman's speeches explaining inflation and other issues are available on RUclips. A good one is Milton Friedman Speaks: Money and Inflation (B1230) - Full Video.
Peter was right again!
Inflation is a quantitative measure of the rate at which the average price level of a basket of selected goods and services in an economy increases over some period of time. ... Often expressed as a percentage, inflation thus indicates a decrease in the purchasing power of a nation's currenc
Awesome, I was hoping you would clear this up Peter. I commented on the actual PC citing the LATEST definition of inflation.
When I found your channel about a year ago I knew you were pure gold. Your still proving me right til this day. Thank you for all you do Peter, thank you.
Exactly! Currency creation is inflation. There is, however, a lag as to where that inflation ultimately goes but it must go somewhere. It tends to go straight into assets (short term).
Thanks Peter. You are honest and bold to the highest limit.
I looked it up in my 1964 dictionary and lo and behold Peter was right. I searched everywhere online and couldn’t find his definition. Hmm.
Fun note, in my etymological dictionary it referred to FLATULANCE! 😂🤣
People work more for same money. And with this money can buy less every year. But officially no inflation. Yea wright.
Yes! And in fact, the Federal Reserve can keep creating currency indefinitely for their friends as long as their friends agree not to spend it until the Fed is forced to stop. The difference between inflation and price appreciation is as important as the distinction between money and currency.
This is brilliant and its right. We have to try and have truth because the more truth we have the better we can understand things and take action accordingly.
I think pete and jim should finish it in an octagon! Id pay to watch lol
Technically Peter may be correct but my expenses are about the same as 2 years ago. Today I have lower fuel (gas), lower mortgage repayments , lower holiday accommodation but higher food costs , higher medical insurance and higher discretionary spending . Jim is correct in saying that government has not been able to create an increase in the cost of goods and services.
Just wonder if Peter can explain why commercial products prices haven’t raised too much even though the reserve bank has been printing so much money?
Inflation of commodities takes time to absorb increased demand (from more circulating money) stagnant or even smaller supply. For instance, food prices are soaring (which was demanded constantly through the viral crisis) while gas is relatively low for now (relatively little driving for now). Once more people drive worldwide, gas will increase despite electric cars increasing as a substitute. The only ways to counter general inflation would be to shrink the money supply (also assuming Fed allows borrowing rates to rise), seriously cut government spending (doubtful due to political expedience of legislators), increase overall production (which takes time), or increase efficiency of production (via technological advancement). The problem of inflation resembles a diesel engine as it is slow to start and also slow to stop. Commodity prices in truth are highly inflated in reality despite "official" inflation statistics and will indeed cost more at large with only some exceptions (such as oil and corn) which are highly abundant from competition of suppliers. Once increased money supply slows, the needed withdrawal will hurt but is necessary to get a better economy than the addiction of debt spending monetary stimulus increases.
Peter, thank you for educating the public on the true meaning of inflation
Inlation is the expansion of my slong and making the vigigi tighter
Agreed. If we are examining definitions, it is accepted by most economists that inflation is the continuous increase in the currency supply; in the case of the U.S. by the Federal Reserve. A potential and likely outcome of inflation is rising prices for goods and services.
Its amazing what the government will do to divert blame, even get definitions changed to suit their monetary policies
Check it out, Blacks law dictionary Seventh edition 2000 is wrong too - “ A general increase in prices coinciding with a fall in the real value of money.” Unfreakingbelievable!
That's twisted. A fall in the real value of money is caused by inflating the money suppy.
rickards worked for the fed. schiff never worked for the fed, and thats why there is a slight difference between him and rickards. schiff uses knowlegde and expirience to predict the market, while rickards was, and maybe still is, an insider who has access to insider information.
It's sad how woefully ignorant most Americans, even the so called experts, are when it comes to how our monetary system and economy actually function. I wish I had been taught this stuff in high school, but at least I'm getting it now. It's never too late to learn and change one's ways.
Exactly.
Had to look this up in my own dictionary. Oxford Advanced Learners Dictionary 7th edition. "The dictionary you can trust". Well, it's there. Inflation is apparently the increase in prices, but when you look up the word that the dictionary say is the opposite word, namely deflation, it defines it as: "A reduction in the amount of money in a country's economy so that prices fall or remain the same". Not that prices HAVE to change because of inflation or deflation, but they generally do. I had NO idea that anyone serious would misinterpret the word inflation. (To make it clear, since it can be a bit hard to understand what I meant, I agree with Peter Schiff)