#Inflation is the result of increasing the money supply, the cure of it is increasing the productivity/output

What does high interest rates generate?

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Discussion

1)What does high interest rates generate?

2)What happens when this increase in the money supply gives the delusion to companies that offer products and services that a new demand is coming in and they need to “prepare” themselves/with “more output” for the future expected demand?

3) At some point the expected demand never comes and prices will drop like a rock?