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39 sats \ 2 replies \ @Undisciplined 27 Feb \ on: DOGE Dividend Checks Inflationary? (Economic Forces, Josh Hendrickson) econ
It feels like a nitpick. I agree that "inflation" = monetary expansion, but "inflationary" is clearly being used to mean higher prices when people talk about this.
Sending out DOGE checks is not "inflation", if it comes from existing money supply, but it will definitely drive up prices of things normal people buy (and reduce the prices of whatever weird shit it was being spent on previously).
Then it's just a change in relative prices, no?
Maybe eggs and groceries get more expensive but, I dunno, mosquito nets and government office supplies(?) get cheaper.
Is that inflation?
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Is that inflation?
Technically, no.
However, if prices rise on all the normal stuff people buy, they aren't going to care about that technical point. It's the same to them.
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