What does this graph and numbers mean? It means that the comparability of growth rates between the real economy and the balance sheets of the central banks are not being observed. However, if the balances increase and money is being printed why isn’t there runaway inflation? First, it takes 9 to 18 months from the infusion of money into the system until inflation occurs. Second, inflation only takes place when money is infused into the real economy. If the money stays in the financial markets there can be no inflation, but the bubble of financial assets…
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