Posts Tagged ‘Dominic Frisby’

Dominic Frisby gives his insight into the effects of inflation and how those charged with controlling and measuring it, are failing on a number of counts – either intentionally or otherwise.

The most important part of this article is the fact that conventional measures such as CPI/RPI do not measure all the causes of inflation – the most important factor being the supply of money itself.

Research by Positive Money shows that only about 10 per cent of newly-created money has gone into the kind of consumer goods tracked by CPI. So all CPI does is measure the effects of about 10 per cent of money creation.

Positive Money’s research shows that 13 per cent of newly-created money has gone into real businesses that create jobs and boost economic growth; 37 per cent into financial markets and 40 per cent into residential and commercial property.

If you want to understand business/economic cycles – look at the what’s happening to the money in circulation, this will give the clearest view.

 

A supporter of commodity money, Dominic Frisby gives an excellent run through the whole history of fiat money and its pitfalls. Those who are rushed for time, please view this short video…