GDP is Collapsing!
If you compare GDP to the amount of currency in existence, it has been falling for 2 decades!
Remember, M2 is a fraction of the total money supply, therefore GDP has fallen by even more!
Ironically, people fail to realize that Money Velocity, what they point to as causing "deflation", is a much better indicator of stagflation!
It is likely that the exploding currency supply will begin to leak into goods and services rather than remain within the financial system!
This will send GDP higher, which of course all the politicians will point to as proof of the success of their policies, but in reality this will simply means bigger bills for you at the grocery store!
Remember, M2 is a fraction of the total money supply, therefore GDP has fallen by even more!
Ironically, people fail to realize that Money Velocity, what they point to as causing "deflation", is a much better indicator of stagflation!
It is likely that the exploding currency supply will begin to leak into goods and services rather than remain within the financial system!
This will send GDP higher, which of course all the politicians will point to as proof of the success of their policies, but in reality this will simply means bigger bills for you at the grocery store!
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