May 3, 2014 by History in a Hurry
Inflation Is Counterfeiting
by Keith Weiner
Most people have a basic idea that inflation is when prices rise, and that this is caused by an increase in the money supply. Since the Federal Reserve is rapidly increasing the money supply, it is only common sense to expect this will hurt us sooner or later. It is absolutely wreaking havoc, though not how you might assume. A simplified idea of inflation is good enough for casual conversation. However, to see what quantitative easing is doing to us requires a more precise understanding.
Inflation is, at root, a monetary fraud.
It helps to understand the dollar, before building the fraud case. The dollar is a debt. Did you ever wonder why we call it a dollar bill? Bill is an old word for a certificate showing that money is owed. On the paper dollar, they don’t print “bill” but “Federal Reserve Note.” Note is another word for money owed. The dollar is a debt owed by the Fed.