“Traditionally, inflation has been defined as ‘an increase in the amount of currency in circulation’…. Unfortunately, in recent decades, even dictionaries have been offering a revised definition of inflation, as ‘an increase in the price of goods and services’….
The purpose of bank-created inflation is to extract wealth from the populace. By regularly increasing the amount of currency in circulation, banks create an environment in which the concept of debt appears to be beneficial. As a result, virtually everyone in today’s society not only has debt; he actually believes that he couldn’t improve his life except through debt…. In essence, the inflation concept was invented by banks as an invisible tax—a means by which they could extract wealth from the populace.
In effect, the individual is used by the banking system as a milk cow. For his entire working life, inflation is carefully adjusted to extract as much monetary value from his labours as possible, whilst still leaving him capable of continued production….
Refuse to borrow money for any situation. Yes, it will mean that, as your friends show off their new cars, you’ll be driving an older model. They’ll also live in nicer houses than you and they’ll ‘own’ their own house before you do. But, at some point, since you’re free from debt, you’ll pass them by and eventually retire well.
By understanding inflation, and acting on that understanding, the odds of living your life as a milk cow can be greatly diminished.”
-Jeff Thomas
