So we know Inflation is mainly due to too much money swirling around in the economy and/or price gouging
Is the answer higher taxation on the rich? More price regulations? Or something more nuanced?
I changed the title from Leftist to Soc-dem, cause leftist answers usually mean complete revolution- what's an answer that I can condescendingly tell my centrist friends that will 'fix' the economy without throwing all working economists to :gulag:
Inflation is cool & good in and of itself. It's a super useful tool, and during times of recession or not spending or whatever it's good that the collective can print money and prime the pump. The problem isn't that more money is being printed, the problem is where that money is going.
Think of the difference between:
Recession hits, nobody is spending money - gov prints 10% of the money supply and uses it to build a vast high speed rail network to the benefit of all. Like a million people get busy, and those people all spend their $$ Yada Yada Yada.
Vs
Recession hits, nobody is spending money - gov prints 10% of the money supply and gives it to ?? already rich people ??? so their investments don't go tits up??
The printing of the money isn't inherently bad, it's what gets done with it that makes it bad
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This is why China will massively invest in infrastructure at the mere smell of economic recession. It keeps the economy going and provides places to expand when things get better. If China didn't decide to massively invest in infrastructure ca. 2008, I doubt they would be where they are at right now. Building infrastructure is always a good thing but neoliberals cannot understand this anymore.
edit: it is quite funny that when China does this, the west screams that it will create too much debt while meanwhile printing an absurd amount of money and handing it directly the the rich with no real strings attached.