Thank you for a rare thing: a cogent economic analysis.

I did notice that you left out one factor related to wage growth — or its lack: the demise of labor unions. Also, negative net exports — a trade deficit — siphons money from the economy, discouraging inflation. Another contributing factor to low inflation is the hoarding of money by, especially, corporations: with interest rates so low, they prefer to borrow rather than burn cash — and the last thing they want is to use any of their revenue to pay their employees more. Finally, debt siphons money into the finance sector, where it has created a vortex of hyper-prosperity that manifests itself in asset inflation, as opposed to a general price inflation that prospering masses could generate.

More broadly, economies dominated by capitalistic enterprises have historically tended to be deflationary. It has taken stimulus in the form of deficit spending by government to prevent that from occurring. Now we have reached a point at which even record-setting deficit spending by government doesn’t induce a general price inflation.

I thought your group might be interested in looking at an alternative monetary paradigm. It is a different way of providing the economy with money; the supply of money (as currency) would be an income paid to individuals. “Re-thinking the Economy’s Fuel System” here in Medium