New #money inflates prices. Monetary inflation is the cause of price inflation. An expansion of the money supply (i.e. increasing the quantity of money) does not result in an increase in goods and services in an economy. It leads to more money going after the same amount of goods and services. As a result, prices go up without any increase in productivity.

Also, this new money does not reach everyone at the same time. High net worth individuals, banks, government institutions, and corporations, those close to the issuer of money (i.e. central banks) will receive the money first and will purchase goods and services at pre-inflation prices (i.e. at prices that do not reflect the increase in the money supply). The rest, the salaried individuals, will receive it last following the rise in prices of all goods and services in an economy.

The system is unjust. Increasing the money supply is a hidden tax on the masses. It breaches the contract of trust, i.e. maintaining the value of the money into the future, put in place by central planners and society.

#Bitcoin fixes this.