And if there is an increase in production there wouldn’t be any inflation caused by currency creation.
Wrong again. Where does the money come from that is spent before the collection of taxes?
Who said anything about the state?
Sounds a lot like the U.S.
This has not and never will happen.
No company is going to fund increased production on a temporary artificial influx of capital. That would be idiotic and a good way to lose money / go out of business.
Hence printing money to the general public will always contribute to inflation.
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He asked a question. How can that be wrong?
Credit/borrowing.
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I touched on this with him in a previous thread.
He just doesn’t get it.
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I did, which is why I’m a better communist than you’ll ever hope to be.
In my thought experiment the comrades of the north listen to sophisticated, complex compositions by artists with ideologically pure inspirations.
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From producing goods and services.
Because
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No, what IS idiotic is giving tax cuts to people who already have more than enough. Give them more. Why? They are the job creators. As if anyone would open a business if there wasn’t more demand for their products or services.
And where does that money come from? Where did the money come from to pay the first federal tax ever?
And where did the money come from to pay the first taxes ever?
So producing goods and services produces money. I’m not sure I have heard of anything so stupid before. But don’t worry I’m sure someone here will out stupid you.
The land/grain, if I’m not mistaken. Feel free to look into it and educate me.
No. Money can be traded for goods and services. The value of money increases when goods and services increase at a higher rate than the supply of money.
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You have already done that numerous times
I’m glad we agree.
Oh, I think the first federal tax in the U.S was paid with tobacco.
You still never elaborated on anything. Why do good intentions change economics at a federal level? As you so eloquently put.
This dude doesnt realize that the original colonies were an economic powerhouse for 170 years before they became the United States.
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The word “if” is doing an awful lot of lifting in your statement and there are no real-world examples of this that I am aware of.
When inflation occurs, companies a) sell off all old inventory first (lower COGS) and b) lower expenses to counter higher production costs.
We can’t just ramp up production because of capital restraints and higher overhead and COGS.
This is what’s wrong with MMT. It does not operate in reality.
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So this produced currency? Are you serious? Think what you posted through.