Causes of Inflation
Causes of Inflation
The causes of inflation are never quite explained as clearly as they should be. When governments print massive amounts of money, the value of the dollar falls.
The definition of inflation is when the money supply gets “inflated” or printed at will.
Should you hang on to dollars during inflation? That is the question that many people are pondering as the value of the dollar slides further and further into the abyss. Should you hang on to the most liquid asset, paper dollars, or should you trade those dollars for gold and silver coins?
This is a good question considering gold has risen from$250 to $1,200 per ounce in recent years. The difference between holding paper dollars and gold/silver is that paper is paper.
If you want to hold real, heavy, tangible money you need to hold gold. Many things have been money throughout history including rare shells, ornamentals, and of course paper.
The thing about shells, ornamentals, and gold is that they all are priced for their intrinsic value. You can only find so much gold on planet earth. Paper is different. Paper can be printed at will.
The causes of inflation are undoubtedly the result of printing paper money.
Paper is not money. Paper is simply a receipt of money stored with a bank, or at least that’s what it began as until the government made it illegal to trade the paper money for gold and silver on deposit.
Most people actually think that paper dollars have value. This is a total scam and a lie. Paper money has zero intrinsic value. In fact, the reason paper is perceived as having value is because people put faith in it.
Author Robert Kiyosaki says it best. His saying “cash is trash” speaks volumes about what paper money really is. This is from the mouth of a billionaire.
What is the solution to all of this inflation and money grabbing by Goldman Sachs (aka Gold-In-Sacks) and JP Morgan Chase? The ultimate solution right now is to hold real money.
Main causes of inflation result when governments need more money, but don’t want to tax the people for it.
Swapping your dollars for gold and silver is a great way to hedge against inflation. If you are saving your cash at a bank getting 0% interest, why not save that money in an asset that is set to go up 5-10 times over the next 10 years.
The government is not going to bail you out, so why not protect yourself while they are inflating our money supply. The one answer to inflation is to swap paper dollars and hold things of real tangible value.
Commodities will be a good play over the coming years, especially gold and silver. Oil and food will also rise in price.
I’m writing this mainly to tell you to prepare for the inevitable crash of the U.S. Dollar. It is coming and is just a matter of time.
The causes of inflation are obviously money printing, and you must get prepared if you expect to preserve your wealth.
Grab your FREE eBook “Why You Should Buy Gold Now” to prepare yourself.



