{"id":29102,"date":"2022-05-31T15:35:45","date_gmt":"2022-05-31T19:35:45","guid":{"rendered":"https:\/\/www.megalextoria.com\/wordpress\/?p=29102"},"modified":"2022-05-31T15:36:08","modified_gmt":"2022-05-31T19:36:08","slug":"government-greed-caused-inflation-for-the-record","status":"publish","type":"post","link":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/2022\/05\/31\/government-greed-caused-inflation-for-the-record\/","title":{"rendered":"Government Greed Caused Inflation, For the Record"},"content":{"rendered":"<p><a href=\"https:\/\/www.megalextoria.com\/wordpress\/?attachment_id=29103\" class=\"attachment wp-att-29103\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.megalextoria.com\/wordpress\/wp-content\/uploads\/2022\/05\/2207307656_b71dc9d2ef_b-1024x693-1.jpg\" alt=\"\" width=\"802\" height=\"543\" class=\"aligncenter size-large wp-image-29103\"><\/a><\/p>\n<p>Government policies fail and create problems in the real world every day. But most Americans are so busy in their daily lives and so detached from the political system that they do not notice\u2026or at least they don\u2019t know enough to point to the root of the problem.<\/p>\n<p>Such is not the case with the current skyrocketing inflation, which has gotten everyone\u2019s attention. Gas is <a class=\"keychainify-checked steem-keychain-checked\" href=\"https:\/\/www.pennlive.com\/news\/2021\/10\/gas-at-a-station-in-california-is-over-7-a-gallon-where-in-pa-will-you-pay-the-most-or-least.html\" rel=\"nofollow\">topping<\/a> $7 per gallon in some regions. Beef <a class=\"keychainify-checked steem-keychain-checked\" href=\"https:\/\/www.cnbc.com\/2021\/11\/18\/why-have-beef-prices-gone-up.html\" rel=\"nofollow\">prices<\/a> are up 20 percent since last year. Meanwhile, rent <a class=\"keychainify-checked steem-keychain-checked\" href=\"https:\/\/www.washingtonpost.com\/business\/2022\/02\/10\/rent-rising-inflation-housing\/\" rel=\"nofollow\">jumped<\/a> an average of 14 percent across the nation. Americans of all political persuasions <a class=\"keychainify-checked steem-keychain-checked\" href=\"https:\/\/fivethirtyeight.com\/features\/we-asked-2000-americans-about-their-biggest-concern-the-resounding-answer-inflation\/\" rel=\"nofollow\">rank<\/a> inflation as the most pressing problem they face, and many are demanding answers for why they are suddenly unable to afford rent or buy meat. Rightfully so.<\/p>\n<p>While there\u2019s a shortage of basic necessities in the country, there\u2019s also a shortage of actual leaders in DC who will take responsibility for the failure of their ideas. Instead, we see a bunch of elderly representatives essentially trying to say that their dog ate their homework. While Democrats have tried to blame Putin, \u201cultra-MAGA\u201d supporters, and other random strawmen for the <a class=\"keychainify-checked steem-keychain-checked\" href=\"https:\/\/fee.org\/articles\/how-inflation-drinks-your-milkshake\/\" data-toggle=\"popover\">inflation<\/a>, it seems most are beginning to coalesce around the weakest scapegoat of all: corporate greed.<\/p>\n<div style=\"display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;\"><iframe id=\"twitter-widget-0\" class=\"\" style=\"position: static; visibility: visible; width: 550px; height: 321px; display: block; flex-grow: 1;\" title=\"Twitter Tweet\" src=\"https:\/\/platform.twitter.com\/embed\/Tweet.html?creatorScreenName=feeonline&amp;dnt=false&amp;embedId=twitter-widget-0&amp;features=eyJ0ZndfZXhwZXJpbWVudHNfY29va2llX2V4cGlyYXRpb24iOnsiYnVja2V0IjoxMjA5NjAwLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3NlbnNpdGl2ZV9tZWRpYV9pbnRlcnN0aXRpYWxfMTM5NjMiOnsiYnVja2V0IjoiaW50ZXJzdGl0aWFsIiwidmVyc2lvbiI6bnVsbH0sInRmd190d2VldF9yZXN1bHRfbWlncmF0aW9uXzEzOTc5Ijp7ImJ1Y2tldCI6InR3ZWV0X3Jlc3VsdCIsInZlcnNpb24iOm51bGx9fQ%3D%3D&amp;frame=false&amp;hideCard=false&amp;hideThread=false&amp;id=1525162536454303744&amp;lang=en&amp;origin=https%3A%2F%2Ffee.org%2Farticles%2Fgovernment-greed-caused-inflation-for-the-record%2F&amp;sessionId=284d4ea99ec116b5a39530014011458bf7d154d5&amp;siteScreenName=feeonline&amp;theme=light&amp;widgetsVersion=c8fe9736dd6fb%3A1649830956492&amp;width=550px\" frameborder=\"0\" scrolling=\"no\" allowfullscreen=\"allowfullscreen\" data-tweet-id=\"1525162536454303744\"><\/iframe>\n<\/div>\n<div style=\"display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;\"><iframe id=\"twitter-widget-1\" class=\"\" style=\"position: static; visibility: visible; width: 550px; height: 297px; display: block; flex-grow: 1;\" title=\"Twitter Tweet\" src=\"https:\/\/platform.twitter.com\/embed\/Tweet.html?creatorScreenName=feeonline&amp;dnt=false&amp;embedId=twitter-widget-1&amp;features=eyJ0ZndfZXhwZXJpbWVudHNfY29va2llX2V4cGlyYXRpb24iOnsiYnVja2V0IjoxMjA5NjAwLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3NlbnNpdGl2ZV9tZWRpYV9pbnRlcnN0aXRpYWxfMTM5NjMiOnsiYnVja2V0IjoiaW50ZXJzdGl0aWFsIiwidmVyc2lvbiI6bnVsbH0sInRmd190d2VldF9yZXN1bHRfbWlncmF0aW9uXzEzOTc5Ijp7ImJ1Y2tldCI6InR3ZWV0X3Jlc3VsdCIsInZlcnNpb24iOm51bGx9fQ%3D%3D&amp;frame=false&amp;hideCard=false&amp;hideThread=false&amp;id=1524748399928520712&amp;lang=en&amp;origin=https%3A%2F%2Ffee.org%2Farticles%2Fgovernment-greed-caused-inflation-for-the-record%2F&amp;sessionId=284d4ea99ec116b5a39530014011458bf7d154d5&amp;siteScreenName=feeonline&amp;theme=light&amp;widgetsVersion=c8fe9736dd6fb%3A1649830956492&amp;width=550px\" frameborder=\"0\" scrolling=\"no\" allowfullscreen=\"allowfullscreen\" data-tweet-id=\"1524748399928520712\"><\/iframe>\n<\/div>\n<div style=\"display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;\"><iframe id=\"twitter-widget-2\" class=\"\" style=\"position: static; visibility: visible; width: 550px; height: 624px; display: block; flex-grow: 1;\" title=\"Twitter Tweet\" src=\"https:\/\/platform.twitter.com\/embed\/Tweet.html?creatorScreenName=feeonline&amp;dnt=false&amp;embedId=twitter-widget-2&amp;features=eyJ0ZndfZXhwZXJpbWVudHNfY29va2llX2V4cGlyYXRpb24iOnsiYnVja2V0IjoxMjA5NjAwLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3NlbnNpdGl2ZV9tZWRpYV9pbnRlcnN0aXRpYWxfMTM5NjMiOnsiYnVja2V0IjoiaW50ZXJzdGl0aWFsIiwidmVyc2lvbiI6bnVsbH0sInRmd190d2VldF9yZXN1bHRfbWlncmF0aW9uXzEzOTc5Ijp7ImJ1Y2tldCI6InR3ZWV0X3Jlc3VsdCIsInZlcnNpb24iOm51bGx9fQ%3D%3D&amp;frame=false&amp;hideCard=false&amp;hideThread=false&amp;id=1526289490377158657&amp;lang=en&amp;origin=https%3A%2F%2Ffee.org%2Farticles%2Fgovernment-greed-caused-inflation-for-the-record%2F&amp;sessionId=284d4ea99ec116b5a39530014011458bf7d154d5&amp;siteScreenName=feeonline&amp;theme=light&amp;widgetsVersion=c8fe9736dd6fb%3A1649830956492&amp;width=550px\" frameborder=\"0\" scrolling=\"no\" allowfullscreen=\"allowfullscreen\" data-tweet-id=\"1526289490377158657\"><\/iframe>\n<\/div>\n<p>This is a convenient narrative for a party whose ideas rely on the demonization of success and class warfare. But there is absolutely nothing to back up such claims.<\/p>\n<p>As Senator Rand Paul (R, KY) and many others recently pointed out, companies and business leaders did not just all of a sudden become greedy in the past two years.<\/p>\n<div style=\"display: flex; max-width: 550px; width: 100%; margin-top: 10px; margin-bottom: 10px;\"><iframe id=\"twitter-widget-3\" class=\"\" style=\"position: static; visibility: visible; width: 550px; height: 624px; display: block; flex-grow: 1;\" title=\"Twitter Tweet\" src=\"https:\/\/platform.twitter.com\/embed\/Tweet.html?creatorScreenName=feeonline&amp;dnt=false&amp;embedId=twitter-widget-3&amp;features=eyJ0ZndfZXhwZXJpbWVudHNfY29va2llX2V4cGlyYXRpb24iOnsiYnVja2V0IjoxMjA5NjAwLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3NlbnNpdGl2ZV9tZWRpYV9pbnRlcnN0aXRpYWxfMTM5NjMiOnsiYnVja2V0IjoiaW50ZXJzdGl0aWFsIiwidmVyc2lvbiI6bnVsbH0sInRmd190d2VldF9yZXN1bHRfbWlncmF0aW9uXzEzOTc5Ijp7ImJ1Y2tldCI6InR3ZWV0X3Jlc3VsdCIsInZlcnNpb24iOm51bGx9fQ%3D%3D&amp;frame=false&amp;hideCard=false&amp;hideThread=false&amp;id=1527287191046524929&amp;lang=en&amp;origin=https%3A%2F%2Ffee.org%2Farticles%2Fgovernment-greed-caused-inflation-for-the-record%2F&amp;sessionId=284d4ea99ec116b5a39530014011458bf7d154d5&amp;siteScreenName=feeonline&amp;theme=light&amp;widgetsVersion=c8fe9736dd6fb%3A1649830956492&amp;width=550px\" frameborder=\"0\" scrolling=\"no\" allowfullscreen=\"allowfullscreen\" data-tweet-id=\"1527287191046524929\"><\/iframe>\n<\/div>\n<p>The persistence of this line of attack reveals a few things. First, it shows these people are not interested in getting to the root cause of inflation or preventing it from occurring again.<\/p>\n<p>For those unfamiliar with the real causes of inflation, there\u2019s actually a basic recipe that tends to repeat in cycles in the US. The government gets greedy and wants to live beyond its means, promising all manner of special favors and services in exchange for votes that enshrine the political power of politicians. They pass spending bills we don\u2019t have the money to afford. And then, in response, the Federal Reserve prints new dollars. This leads to more dollars chasing fewer goods\u2014fewer goods, in this case, thanks to lockdowns, trade wars, and tariffs that have stagnated the economy. Boom, inflation.<\/p>\n<p>It is unsurprising that the left and many on the right do not want to cop to this fact and discuss the true causes of inflation. It is, after all, their pet projects that created the problem. Instead, they\u2019re still trying to convince Americans that legislation like the $1.9 trillion \u201cAmerican Rescue Plan\u201d helped Americans. (It actually <a class=\"keychainify-checked steem-keychain-checked\" href=\"https:\/\/www.vox.com\/23036340\/biden-american-rescue-plan-inflation\" rel=\"nofollow\">kicked<\/a> inflation into high gear).<\/p>\n<p>Besides being a flagrant attempt at hoodwinking the American people, the narrative that corporate greed led to inflation also reveals an even deeper problem with the left\u2019s ideology: these people have no idea how markets work or what conditions <em>actually<\/em> create prosperity.<\/p>\n<div style=\"clear: both;\">\n<div id=\"om-fqmeg7lcejd7fy5oro5r-holder\">\n<\/div>\n<div id=\"om-lxkcubhhqwmdm0lkjkbp-holder\">\n<\/div>\n<\/div>\n<p>Corporations and individuals <em>should<\/em> be driven to make money, that\u2019s a positive incentive under capitalism. Profit-seeking ensures companies stay afloat, are able to provide goods and services people need, and provide consistent employment. It ensures our GDP continues to grow, that we see more innovation and competition, and ultimately, as a result, we continue to see our quality of life improve.<\/p>\n<p>As Adam Smith famously pointed out in <em>The Wealth of Nations<\/em>, \u201cIt is not from the benevolence of the butcher, the brewer, or the baker, that we expect our dinner, but from their regard to their own interest.\u201d Capitalism mandates that in order to make a profit, corporations and entrepreneurs must provide a valuable service or commodity to society in order to succeed.<\/p>\n<p>This is what ultimately makes capitalism the most moral system. It recognizes that human nature is self-interested. And it finds a way to wrangle that reality and direct it in a way that actually benefits everyone.<\/p>\n<p>It is silly to be mad at corporations for wanting to make a profit. But in this case, it\u2019s actually demagoguery meant to convince the masses to carry their pitchforks to the wrong castle.<\/p>\n<p>The blame for inflation should be laid directly at the feet of the federal government. Don\u2019t let them distract you from that.<\/p>\n<p><script src=\"https:\/\/platform.twitter.com\/widgets.js\" defer=\"\" async=\"\"><\/script>\n<div>\n<h5><a class=\"keychainify-checked steem-keychain-checked\" href=\"http:\/\/fee.org\/people\/hannah-cox\/\"><br \/>\nHannah Cox<br \/>\n<\/a><\/h5>\n<div>\n<div>\n<p>Hannah Cox is the Content Manager and Brand Ambassador for the Foundation for Economic Education.\n<\/p><\/div>\n<\/div>\n<\/div>\n<p style=\"font-style: italic;\">This article was originally published on FEE.org. Read the <a href=\"https:\/\/fee.org\/articles\/government-greed-caused-inflation-for-the-record\/\">original article<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Government policies fail and create problems in the real world every day. But most Americans are so busy in their daily lives and so detached from the political system that they do not notice\u2026or at least they don\u2019t know enough to point to the root of the problem. Such is not the case with the current skyrocketing inflation, which has gotten everyone\u2019s attention. Gas is topping $7 per gallon in some regions. Beef prices are up 20 percent since last year. Meanwhile, rent jumped an average of 14 percent across the nation. Americans of all political persuasions rank inflation as the most pressing problem they face, and many are demanding answers for why they are suddenly unable to afford rent or buy meat. Rightfully so. While there\u2019s a shortage of basic necessities in the country, there\u2019s also a shortage of actual leaders in DC who will take responsibility for the failure of their ideas. Instead, we see a bunch of elderly representatives essentially trying to say that their dog ate their homework. While Democrats have tried to blame Putin, \u201cultra-MAGA\u201d supporters, and other random strawmen for the inflation, it seems most are beginning to coalesce around the weakest scapegoat of [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":29104,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15],"tags":[622,898],"class_list":["post-29102","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-politics","tag-economics","tag-inflation"],"_links":{"self":[{"href":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/posts\/29102","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/comments?post=29102"}],"version-history":[{"count":0,"href":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/posts\/29102\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/media\/29104"}],"wp:attachment":[{"href":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/media?parent=29102"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/categories?post=29102"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.megalextoria.com\/wordpress\/index.php\/wp-json\/wp\/v2\/tags?post=29102"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}