When this occurs, the American economy will be decimated. Over Expansion of the Money Supply A collapse can only happen if expansion exceeds its natural barriers. The dollar has been growing at a rate that does not correspond to real economic growth. Eventually the fictitious growth of American wealth must return to a level that represents the true equilibrium of money and what it can purchase. A devaluation of the dollar is imminent.
Inflation is a monetary phenomenon.
This means that higher prices are the result of an increase in the money supply. Productivity covering up expansion of money supply . There is a simple explanation. Increased wages lag in making up the difference. Central banks, commercial banks, and the government benefit.