Small silhouette of Doug Wolkon WELCOME TO PLURANOMICS, THE ECONOMICS OF MANY.

Wages

What Causes Inflation?

What causes the prices to go up and real value to go down?┬áTo understand what causes inflation, visualize using only one economic variable – LAND; because ALL material things we buy or use originate from the land.

The land may change form, but the wooden floor you stand on (trees), the fork you hold (metals), the road you drive on (asphalt, derived from oil), the T-shirt you wear (cotton plant), the boat you sail (fiberglass, from sand or silica), and the food you eat are all originally derived from the land.

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