Korea has joined the parade of European governments that are inflating. The U.S. leads the parade. The U.S. has just been through a period in which the banking system multiplied credits enormously. The credits (loans) did not have sufficient values behind them in the form of home values or the ability of borrowers to service the loans. The same goes for credit card and other kinds of loans. The U.S. government also issued enormous amounts of debt that lack sufficient backing, because its taxing power has not risen compared to its debt increases. The entire economy’s excessive use of credit … Continue reading Reviving world-wide inflation