Quote:
Originally Posted by supafamous
Hey dumbass do you know WHY inflation goes up? It's not covered in Econ 101 but it is covered in 201.
https://www.rba.gov.au/education/res...in%20inflation.
Under Democrats inflation increases b/c employment is going up driving up demand resulting in rising inflation. Under Republicans employment decreases and lowers demand resulting in falling inflation.
That average inflation is lower under Democrats is indicative of better financial management - the rise is signal of increased economic performance. |
Oh yeah. Not only I did 201, but also 365 and 415.
To give you a short version of why inflation is created is when money generation happens at a quicker pace than real economic output.
And who can generate money out of nothing? The government or the central bank depending how you look at things be it Keynesian or Neo Keynesian.
And the very link you posted, if you follow back to its source and read it as well as many of its own source materials, it will then tell you that Dems have a history of spending money quicker than the economy can produce while reps did the opposite.
Therefore inflation tends to rise under Dems and drops under reps