Stephen Yearwood
1 min readAug 11, 2021

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Most economists say that the most significant cause of high inflation is the expectation of high inflation. That induces people to act as if it were going to happen, which contributes to its manifestation. Increases in the supply of money increase the expectation of inflation (in addition to the effects of the increase in money itself). Within the existing economic paradigm there is no limit on how much money, as currency, can be created. Add all that together and high inflation is a constant worry in today's economy.

In my paradigm there is an absolute limit on how much money as currency would be created. That limit would be known. We would have to be careful in transitioning to this paradigm, but once in place the built-in safeguards against inflation in it, beginning the limit on how much currency would be created, would be sufficient to prevent domestically generated inflation. 'Imported inflation', resulting from what was happening in the rest of the global economy, could still be an issue, but not an insurmountable one.

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Stephen Yearwood
Stephen Yearwood

Written by Stephen Yearwood

M.A. in political economy (money/distributive justice) "Please don't confront me with my failures/ I'm aware of them" from "These Days," as sung by Gregg Allman

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