I read a theory the other day that it was labour unions that created a inflationist economy. Employers needed to lower wages because of deflation but large labour unions wouldnβt budge. So Keynes and his cronies figured out a way to lower their wages without them knowing .
Discussion
super interesting. where did you read that?
I believe it was a Mises media talk, hard to remember with the amount of information I take in lol π
Interesting. I think it was more the need for the government to print to support their own out of control spending... But pressure from the labour market could have been a contributing factor!
The "sticky wages" issues was one of Keynes' main reasons for advocating an inflationary money. Politicians used Keynesianism as cover for money printing.
So, the wage issue caused Keynesianism and Keynesianism caused out of control spending.