Money is more than banknotes and coins. If you have a bank account, you can use what’s in it to buy things, typically with a debit card. Because you can buy things with your bank account, we think of this as money even though it’s not cash. Therefore, if you borrow £100 from the bank, and it credits your account with the amount, ‘new money’ has been created. It didn’t exist until it was credited to your account. This also means as you pay off the loan, the electronic money your bank created is ‘deleted’ — it no longer exists. You haven’t got richer or poorer. You might have less money in your bank account but your debts have gone down too. So essentially, banks create money, not wealth. Banks create around 80% of money in the economy as electronic deposits in this way. In comparison, banknotes and coins only make up 3%.”
this is missing the much bigger more important macro picture right now which is we entered a fiscal dominance. Now regardless of monetary credit expansion from banks poofing money into existence, government outlays are being printed and its in a runaway . This source of inflation would run even if interest rates were 20%. in fact high interest rates are paying bond holders from printed money which is inflationary. A lot of people havent noticed this phase change. its one of the reasons golds going crazy right now, along with the dying of the dollar as reserve currency .
USA is backed itself into corner . austerity is politically unacceptable and the only path forward is inflating away nominal debt.
Im glad i planned for this because i would be epically more fucked if i hadnt.
Land prices are out of control too, used to be major regional differences but thats mostly been arbitraged out and now even places in oklahoma and arkansas are overpriced. People listing good farmland has slowed so much, they just hold it now.
https://www.lynalden.com/full-steam-ahead-all-aboard-fiscal-dominance/
1/3 the yield of current modern wheat is already at the level of preindustrial wheat yields so as a post apocalyptic crop this creates a beneficial artifact from the modern era.