Kerby Anderson

Pierre Poilievre is the leader of the Conservative Party of Canada and recently was on Joe Rogan’s podcast. They were talking about what happens when the government prints more money.

He explained that the government printing money seems painless at first. “But if you have an economy with 10 apples and $10, it’s a buck an apple. You double the number of dollars to 20, but you still only have 10 apples. Suddenly, it’s two bucks an apple.” As I think we all know, the cost of the apples increased simply because the value of the money went down.

He then applied the principle to a real-world example. “In America over the last 55 years you’ve doubled the number of homes in America from about 70 million to 150 million. You know how much the money supply has grown? 30 times.” We have twice as many homes but 30 times as many dollars, so housing costs increased 15-fold. He said that Canada has the same problem.

The impact of money printing affects citizens differently. Washington and Wall Street love it because it inflates the bureaucracy and the stock market. This wealth transfer benefits the elites and hurts the working class. Wealth, as he puts it, moves from “the have-nots to those who have yachts.”

He also reminded us that products and services should be getting cheaper. It takes fewer resources to grow food. “We grow four times the food on the same acre, get four times as much milk from the same cow. We use 80 percent less water and fertilizer.” But all that agricultural efficiency is erased by monetary inflation.

He understands what all of us need to understand. Money printing reduces the value of money and make it more difficult to support you and your family.