Price inflation results when “demand” (money) increases more than “supply” (goods and services), driving prices up
Not exactly. There is a relation of course relative with SCARCITY. The more scarce a product is the more inflated its value is. But this is not the whole story, and not by a long shot.
When the modern cybernetic revolution happened... at the begging this scarcity factor was true. You could only buy an agonizing old by now standards "486" by more than $1000. But soon "demand" sky rocketed, which was not accompanied by a comparable "supply" at first. Yet prices did not increased but declined. The exact same happened with mobile phones. Then when production caught up prices have been in free fall, to the point if you do currency correction due to inflation, yet you could buy a "PC" for the same purposes today, for much less than half the price it costed in the beginning of the 90’s.
"PERCEPTION" has a great factor in this. Hyperinflation only happens when there is some kind of PANIC at some level... specially when about "first necessity" products like food, water... power. In the case of PCs and Mobile phones supply & demand is not valid... and hyperinflation can never happen... because in any case, if the price is too high ppl can just DON’T BUY IT.
Supply & Demand is only valid with things that you can’t live without buying. That is why "codex alimentarius" is in full swing... specially in the USA when soon it will be a crime to cultivate your own food... that is why "free energy" tech by radiant magnetic energy was so strongly suppressed ( a magnet can do work= produce energy= for a long long time without any energy input of any kind [must have its own internal energy production for sure])... that is why water resources are privatized almost everywhere...
Not exactly. There is a relation of course relative with SCARCITY. The more scarce a product is the more inflated its value is. But this is not the whole story, and not by a long shot.
When the modern cybernetic revolution happened... at the begging this scarcity factor was true. You could only buy an agonizing old by now standards "486" by more than $1000. But soon "demand" sky rocketed, which was not accompanied by a comparable "supply" at first. Yet prices did not increased but declined. The exact same happened with mobile phones. Then when production caught up prices have been in free fall, to the point if you do currency correction due to inflation, yet you could buy a "PC" for the same purposes today, for much less than half the price it costed in the beginning of the 90’s.
"PERCEPTION" has a great factor in this. Hyperinflation only happens when there is some kind of PANIC at some level... specially when about "first necessity" products like food, water... power. In the case of PCs and Mobile phones supply & demand is not valid... and hyperinflation can never happen... because in any case, if the price is too high ppl can just DON’T BUY IT.
Supply & Demand is only valid with things that you can’t live without buying. That is why "codex alimentarius" is in full swing... specially in the USA when soon it will be a crime to cultivate your own food... that is why "free energy" tech by radiant magnetic energy was so strongly suppressed ( a magnet can do work= produce energy= for a long long time without any energy input of any kind [must have its own internal energy production for sure])... that is why water resources are privatized almost everywhere...
Old economic theory are bollocks.