After the Recesion Comes the Inflation?

As if we didn’t have enough to worry about in these dismal economic days, the government’s policies implemented in an attempt to avoid a total economic collapse after-effects will be felt for years to come.

The currency-in-circulation component of the monetary base — which prior to the expansion had comprised 95% of the monetary base — has risen by a little less than 10%, while bank reserves have increased almost 20-fold. Now the currency-in-circulation component of the monetary base is a smidgen less than 50% of the monetary base.

Lets look at a graph of the current monetary supply:

Hey, at least all that money you just lost will be worth a lot less: Get Ready for Inflation and Higher Interest Rates.

About Zachary H

I'm an attorney, writer, entrepreneur, and adventure
This entry was posted in Commentary, economy, Government and tagged , , , , . Bookmark the permalink.

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