Home Forums Hunting & Shooting Hunter's Campfire Inflation?

Devalues it. Flood the market with anything and the value drops significantly. Money worth less and the price of all goods rise

Think of it like a see saw on the playground. on one side you have all of the dollars in circulation. On the other side is everything of value, goods and services that have real value.
They are balancing each other out.
When money is printed and added to circulation then it naturally tries to balance. So everything of real value over time rises in dollar value to match the.dollars in circulation.
The dollars are devalued because it takes more of them to buy something with real value than it did before the new dollars were added.
What it means to us when they added 20% more dollars to the economy during the covid scam, is the 1000 dollars we had in our savings account. Only buys 800 dollars worth of stuff now. The SOBs stole 20% of our work and savings.

Think of it like this. You've made a pot of nutritious soup for your family of five, loaded with calories and nutrients, lots of meat and vegetables.

Now five new people drop by and ask to join you for dinner, but you only have enough for your family to have one bowl each. Solution: You double the soup's volume by the addition of water from the sink's faucet so that you can serve ten bowls of soup instead of only five. But now each bowl is only half as nutritious and calorie dense as it would have been before.

Money printing is analogous to doubling the volume of the soup by the addition of water. Each bowl (although containing just as much soup) is now only worth half what it was before in nutrition value.

More dollars from no where. = less value for every thing.

Wow! You're not only a numbskull in science, but economics, too.

Zelensky Moment is Cum’n..

We have it.

Printing dollars is like pouring more water into a pot of soup. You’re not adding anymore nutrients just watering down the soup.
As the soup gets watered down it takes more soup to get the same nutrients (value) or it takes more dollars to get the same thing.

I wish I had thought of that.

I didn't read this before I posted. But this is the same as what I learned in Econ 101.

I no more posted that then I read your post. LOL.

I figured that was the case. Just messing with you.

PS Ringman clearly never took Econ 101. Nor Bio 101. He likely slept through high school, too.

Who cares ? We were saved from Covick and Orange man. YGBSM
Now Putin won’t be able to rule the world either.

Very similar to you in any handgun shooting instruction environment.

All good and fundamental elements, however to put it simply , inflation is simply printing more money, without any backing(gold standard) therefore reducing the value of the currency in circulation.

Fiat Federal Reserve Notes actually do have a base value, and that's created by the fact that you must pay your taxes with them, or be arrested, which creates demand (which is why the 16th Amendment was ratified at the same time the Federal Reserve System was created). However, each time the number of notes in existence is increased, each individual note decreases in purchasing power proportionally.

The degree to which purchasing power per individual one-dollar note is decreased doesn't mean that that much purchasing power has disappeared, however. That lost degree of purchasing power per one-dollar FRN merely transfers from the dollars in existence previously into the new dollars created, but the same total worth of all dollars together remains the same.

Common red herring. That is merely supply and demand cycles that the market accommodates and corrects. Inflation is the intentional debasement of the currency by , literally, counterfeiting new dollars out of nothing! Extra units dilute the value of everything traded I can’t trace how it works at street level myself. But prices know to rise somehow. Debt created has to sold. China, Saudi Arabia don’t buy. The FED
“Buys” It’s real simple but complicated on purpose to legitimize slight of hand. Our critters know it’s destructive to our future. You would think.

More slices of the pie, each slice gets smaller.....

Only backing of our currency is that of a full faith the federal gov’t will honor its debts. You obviously know there’ been no backing of the dollar since Nixon took us the last vestige of backing the so called silver standard.

The soup analogy is a a good one, but the image below clearly shows it isn't the soup that was watered down!

The soup (and the can with the red/white label) are essentially unchanged. Prices were relatively constant for 80 years but then wham, there was a drastic change that occurred in the early 70s. Hmmmm, what could that have been?