The Inflationary Attack on America’s Poor

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by Thomas Eddlem | Mar 3, 2022

The ramp-up of money-printing by the Federal Reserve Bank since the COVID pandemic began has meant, like clockwork, an increase in CPI price inflation exceeding a seven percent annual rate. Though price inflation as measured by the CPI was temporarily delayed by the crosswinds of the shutdown-induced recession, the Fed inflation of the currency had already enriched the financial sector and created a wider income divide between the top one percent and the rest of the people. And this has not gone unnoticed by the political left, even if they remain ignorant of the real economic causes.

Economist and financier Richard Cantillon explained the impact of inflation upon the poor in his posthumous Essai nearly four centuries ago, in what has become called the “Cantillon Effect.” Cantillon posited that “the abundance of money makes…

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