As we unpack and deconstruct the subject of inflation, there are many aspects ranging from what is inflation, how is it calculated, and what is hurtful about it. The direct impact it has on our currency is what this article will primarily focus upon.
We must also do our best to delineate the underlying causes of inflation, for even across economics textbooks we lack consensus, with theories such as monetarism and Keynesian views of our money supply largely inconsistent. Theories are invented, some later discredited, others partially validated, and even others—such as the recent Modern Monetary Theory—used primarily as a justification for monetary and fiscal stimulus that grew our money supply far faster and higher than our economic (GDP) growth and ended up mostly debunked as a political ploy seeking to justify direct economic intrusion during the Great Financial Crisis and the pandemic.
