'MPE™ 108' — CIRCULATORY INFLATION AND PRICE INFLATION EXPLAINED

Thursday, June 5, 2008

'MPE™ 108' — CIRCULATORY INFLATION AND PRICE INFLATION EXPLAINED

Contemporary economists routinely use the term "inflation" to express two very different things — as if price inflation is a consequence of circulatory inflation, and the one misunderstood or deceptively used term, "inflation," justly expresses an inseparable consequence and its cause together.

In all of the pseudo-science we wrongly call economics however, there is no formal theorem and proof whatever that in any purported economy subject to interest, 1) circulatory inflation actually occurs, and that 2) circulatory inflation causes price inflation.

On the contrary, the only way to produce circulatory inflation (or traditionally defined inflation) is to borrow more than the value of the related wealth, and/or to pay less than the value of the related wealth, despite a monetary obligation further comprised of interest. The first is not allowed, and the latter is impossible because we have to pay both the value of the wealth (principal) and interest out of the circulation.

So rather than suffering circulatory inflation, we perpetually suffer deficient circulations under usury; and for this reason alone, traditional inflation cannot be the cause of price inflation. The only case where traditional inflation can even exist is in such extreme cases of artificial sustention that the circulation exceeds the value of all wealth — a case too which is not only impractical, but inevident in the circulation and wealth about us.

Thus traditional inflation particularly does not exist across the cases it is claimed to exist, which purportedly explain price inflation.

Accordingly, it is impossible there is a correlation between traditional inflation and price inflation.

Price inflation nonetheless is a process; and so if there is a systemic cause of price inflation, we can only look for its cause in the one process attached to the currency — which process is interest. Looking there, we quickly find that interest is the cause of price inflation, because interest inherently and irreversibly multiplies debt in proportion to the circulation.

Everywhere the ever increasing costs of multiplying debt come to bear upon the subject system then, price inflation is the consequence of interest — and can only be eradicated by eradicating interest.

Even on its surface therefore, the facade we are constantly spoon fed should be difficult to swallow, because in effect it tells us that the people detect something which does not even exist; and that then we simply uniformly punish ourselves by unnecessarily, perpetually, and destructively raising prices — making life so damagingly expensive that our usurers must come to our rescue by elevating the very cause of price inflation so much that we cannot afford to maintain the prices which will preserve margins of solubility.

Which of course is why our industry is vanished to elsewhere.

So the purported economist advocates a system which maximizes its unearned taking by the facade price inflation is controlled by interest — which in fact only makes solubility ever less possible.

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"To find the players in all the corruption of the world, 'Follow the money.' To find the captains of world corruption, follow the money all the way."

mike montagne — founder, PEOPLE For Mathematically Perfected Economy™, author/engineer of mathematically perfected economy™ (1979)

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