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Kazimir Malevitch's avatar

Last year IMF published a study on EU inflation in 2021/22. What they showed was that higher prices were not depending on higher energy or resources costs (e.g UKR-RU war and sanctions), but 80% of the inflation was due to the artificial rise of prices of goods to make more profit.

Even if it's an IMF study I agree with those numbers for a simple reason: State Governments do not control prices as it was in the '70s or '80s, instead pushing for the idiot and criminal idea that the Market regulates itself, they left citizen without a shield. Every sector that sells goods is a Cartel that monopolize de facto that sector, like the Drug Cartels in Mexico or Venezuela. It's simply a mafia, but all dressed up. They simply higher the prices because today, to be reach and wealthy costs more and more to show it up to your friend and neighborhood.

Instagram, Twitter, Fakebook along with traditional TV have been spreading and spamming the beautiful life of reach and wealthy to a rhythm and intensity 1000 times higher than 30 years ago. The gossip is the new information for the masses.

But Governments were not happy of those criminal unregulated prices they decided, so with the excuse of Covid, they started an operation of helicopter money but on specific sectors only, at least in my country.

A little example to end this thoughts: Ok you need to install Air Conditioning in a bedroom of your apartment, there is a little terrace, so not a difficult installation.

Before the State incentives the job to install it (without AC machinery costs) was costing you between 400 to 500 euro.

Right after the incentives, I was asked for 1 room only 1000 euro. And black money...So I did check with another company... same price few euro more or less.

And who run this companies? Electricians, plumbers. They didn't went to special Schools or Universities to install AC... but they exactly know how to steal your money.

Because they are not only happy that the State is pushing their business, they want also the part of money that the State gives you back as incentive. So the math is simple: their job value is 500, they double it to 1000. But you, the Client, get back 500 from the State, so it finally cost you 500 as before but they gained 1000 of which 500 was your part... it's a 100% increase, from a month to the next one.

They are growing a multitude of ignorant people that have no principles or respect or any moral idea of what is good for the community but only for them. And this multitude of thieves that higher the prices of anything with only scope to get richer, than vote for the big Thief so they can continue to steal your money and have no regulated market in order to keep their Cartel ruling it...

As my motto says in a voice and video chat I use: "we live in a world of Criminals made for Criminals"

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Perry Simms's avatar

Of course they say it's anything but state chartered moneyprinting and market interventionism.

See my link above to take your medicine.

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epimetheus's avatar

And I'll throw in a quote from Frédéric Bastiat (source: https://en.wikiquote.org/wiki/Fr%C3%A9d%C3%A9ric_Bastiat)

'An act, a habit, an institution, a law, gives birth not only to an effect, but to a series of effects. Of these effects, the first only is immediate; it manifests itself simultaneously with its cause — it is seen. The others unfold in succession — they are not seen…Between a good and a bad economist this constitutes the whole difference: the one takes account only of the visible effect; the other takes account of both the effects which are seen and those which it is necessary to foresee. Now this difference is enormous, for it almost always happens that when the immediate consequence is favourable, the ultimate consequences are fatal, and the converse. Hence it follows that the bad economist pursues a small present good, which will be followed by a great evil to come, while the true economist pursues a great good to come, at the risk of a small present evil.'

So, in the above context, we do note that those like in the above-cited piece, are all relying on (very) bad economists.

The plumbers and electricians etc., while certainly carrying out what is seen, they are following (very bad, if not outright destructive) incentives provided by someone, or something, else.

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ExcessDeathsAU's avatar

When I was in Geneva maybe 8 years ago it was 80 AUD for two tiny lunch cups of stew and water. I shudder to think what the prices are now.

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epimetheus's avatar

Oh, well, it's much higher now, of course (judging from me being in Zurich four weeks ago). Of course, Switzerland didn't throw around as much 'money' as its neighbours during the WHO-declared, so-called 'Pandemic™', but there's always some spillover effects.

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Perry Simms's avatar

People interested in why prices go up should go to https://mises.org

And spend a few years reading and listening.

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epimetheus's avatar

This is true, and perhaps read The Creature from Jekyll Island.

It is obvious, though, that this particular Ag Minister didn't, and apparently also doesn't go shopping for groceries very often.

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