The World Bank, a disease-ridden institution that perpetuates the bubbles that wreak havoc in the world, is admitting that higher food prices are now the norm.
This to me indicates just how far ahead we are in understanding the link between bubble monetary policies, and higher prices.
When loose money is issued and more money is in circulation, it is only natural that prices rise. The money is not just going to sit idly by. And with a 'norm' of higher prices, who's going to want to keep their money in the bank? Expect more wasteful spending.
In addition to higher prices, we can expect lower employment. With consumption being promoted, how can business ventures that take years and years to develop remain stable? Could funding for these be continued when consumption becomes more attractive? It is useful to study the Austrian business cycle theory here. Both consumption and investment could not increase at the same time. And savings, not credit, must be the building block for investments.
Will the World Bank, and other inflationary agencies, listen?
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