this post was submitted on 22 Sep 2023
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[–] [email protected] 23 points 1 year ago (1 children)

Yeah, I’be been saying this since before Covid. During trumps trade war on China, there was a massive increase in monetary supply. The government was printing money like crazy, but there wasn’t any increase in inflation.

I didn’t know there was already a theory behind it. But I kind of figured I shouldn’t be the only one to have figured this out.

[–] [email protected] 18 points 1 year ago (1 children)

Something did inflate, actually: the price of assets, meaning stocks, bonds, real estate. In other words, the rich got richer.

[–] [email protected] 12 points 1 year ago* (last edited 1 year ago)

Technically true, but it would have inflated a lot faster if not for the trade war. There was also an adjustment 4Q2018 because there was no deal with China and things would have escalated the next year. When the next year came around, the US capitulated because businesses were losing too much profit.

Typically socialist governments are much more resilient against recessions, so a fair economic attack was never winnable anyways, especially on a country that’s mainly self-reliant. The Soviet Union was doing well during the 1930’s Great Depression as well.