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Ray Bod
Bloomberg Television
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Comments by "Ray Bod" (@raybod1775) on "Summers u0026 Ferguson Debate What Causes Inflation" video.
The size of government is directly measured by the Federal budget. Republicans expand the size of government as fast as Democrats. Inflation is caused when increased supply of money caused by government deficit spending increases faster than efficiencies in the economy. These efficiencies don't simply depend on the internal U.S. economy, but on international supply chains and the dollar maintaining its value relative to other currencies. The more dollars, the less value, the less efficient the dollar is in trade. Obviously, these guys don't go shopping. Packages shrink and sold for the same price, major appliances have gone up 20% in the last year, building materials are up, meat prices are up, housing prices are up, buying a low priced base model car is as easy as buying a unicorn.
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@mondcivitano7097 Dollars sitting in a desk draw are not being used efficiently.
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