Replying to null

It has 0% to due with expectations and 100% due to supply of cash.
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ZambiaRoots 4mo ago

100%? What about the supply of goods side of things? It seems to me that if there is decreasing supply (chickens laying eggs) of a good and demand is constant (people want to eat the same amount of eggs) then price will increase. Is there a different name for this type of increase than inflation? This is a genuine question on my part.

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null 4mo ago

Not 100% in the short term, but long term inflation over the past 60 years is attributed primarily to increased money supply in the US.

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ZambiaRoots 4mo ago

That makes sense. To make sure I understand, the market comes to equilibrium. Therefore short term price increases might be due to lack of supply of a particular good, but over the long run all price increases are due to the increased supply of money?