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Inflation Is Love of Money

1. Let's imagine there is a small sovereign community of 4 industries: 2. T: Tools 3. U: Utilities 4. H: Housing 5. F: Food 6. and say each industry needs to sell, for units of money, 100 per month, to the other 3 industries, each industry earning a money amount of 300; 7. and each industry needs to buy from 3 other industries, to procure all the necessary items for all the 4 industries to thrive better together, each industry spending 300. 8. T sells 300 to UHF; T buys 300 from UHF; 9. U sells 300 to THF; U buys 300 from THF; 10. H sells 300 to TUF; H buys 300 from TUF; 11. F sells 300 to TUH; F buys 300 from TUH; 12. 300 minus 300 is 0. 13. The above explanation intends to show how money exchanges between industries. There is no inflation in this example because all 4 industries split their money equally. 14. Yet in reality, people don't share money equally. 15. In order for few people to have a lot of extra money, many people must operate with not quite enough money. 16. Let