Are Greedy Wheat Grass Lumber (and Cattle) Farmers Responsible For Inflation and High Costs of Living - jalToorey/IdealMoney GitHub Wiki

Are Greedy Wheat Grass Lumber (and Cattle) Farmers Responsible For Inflation and High Costs of Living

Here we offer a more local re-framing of Cantillon re: the Cantillon effect using Cantillon's words:

…an increase in actual money…gradually increases prices.

These high prices will encourage farmers to employ more land to produce them in another year; these same farmers will profit from this price increase and will, like the others, increase their family’s expenditure.

As a consequence…those who suffer first…will be the landlords during the term of their leases, then…and all the workers or people on fixed wages

…Some will be laid off by the landlords, and it will happen that the others will ask for an increase in their wages so as to live as before.

.. this abundance of money will increase all prices to the point that not only will the landlords, at the termination of their leases, increase their rents considerably...

…the craftsmen and workers will push the price of their articles so high that there will be a considerable profit to be made by importing them from abroad, where they are made more cheaply.

This will naturally encourage… into the state a large amount of articles made in foreign countries, where they are more cheaply produced.

This will gradually destroy the state’s craftsmen and manufacturers who, given the high cost of living, will not be able to subsist by working at such low prices

The money… will necessarily flow overseas to pay for what is imported when an excessive abundance of money… has reduced the population of a state, accustomed those who remain to lavish expenditure, increased excessively the prices of the output of land and labor, and ruined the state’s manufactures because of the landlords’ and mineworkers’ recourse to foreign goods.