Elaborate, please

The money supply grows because banks are only forced to keep some of their deposits as reserves. Everything else can be lend away. The formula for the amount of money they create (money multiplier) is as follows:

a = physical currency/bank deposits w = reserves/deposit accounts MM = 1+a/w+a

You can interprete w as the rate of reserves. So if we simplify the equation by assuming theres no cash it becomes:

MM = 1/w

So if the reserve ratio is 0.1, the MM would be 10, meaning that the money supply will be 10 times bigger than the monetary base (cash + reserves).

Why choose inflation when you can just as easily raise other taxes?

I’m sure you agree with me that increasing taxes on inheritance, property, capital gains or really high income would be more efficient than printing money.

What is supposed to be the argument for the “genius IQ” opinion? I’m not claiming inflation is this big bad monster some people make it out to be, but frankly, this meme seems like It’s advocating for relying on inflation as a way for the state to fund itself without any consequences.

Also known as Don Giovanni/Don Juan

The Trickster of Seville and the Stone Guest

You do you, but it’s better if everyone donates a bit of money to a lot of projects than donating a ton of money to a single project. It’s not like a single individual with a normal salary could fund a project alone anyways.

Let’s suppose that 10 people have 10 dollars to give each, and there are 4 projects which they all use: Project A is the most important for 7 people, so they recieve $70. Then comes project B with $20 and C with $10. Project D gets no donations.

But if we ponderate them by average importance it would be: A=0.5, B=0.3, C=0.15 and D=0.05. If they had split their donations, the allocation of funding would have been way more efficient.

Since you’re interested in traveling, I would say french. It is spoken in a very wide variety of countries all over the world, you have a lot of resources to learn it and it’s related to the other languages to know. Other languages might have more speakers, but if youre just interested in the visiting a lot of wholly different places, it is probably the best one.

making it harder for many* to escape.

many: rich people