OPINION
500 years ago, when people around the world still thought that the Sun revolved around the Earth, Copernicus wrote in his "Memorandum on Money and Inflation": "Among the countless harmful triggers which bring the collapse of entire countries, four are crucial: internal conflict, a large mortality rate, barren soil, and the thinning of coins. The first three are so obvious that they can hardly be disputed. The fourth evil, however, which stems from the coin, is only noticed by a few who think more seriously, because states do not fall immediately, but very gradually and, thus invisibly.”
The astronomer Copernicus knew as early as 1522, long before his astronomical discoveries, that an increase in money supply leads to devaluation of money. And to disaster and violence. There are enough historical examples, such as the Weimar Republic, where Finance Minister Rathenau was assassinated in 1922, even before inflation really began to gallop: in 1922, a liter of milk had still cost 8.50 marks; in May 1923, it already reached 850 marks, and then in October 200 million marks.
In 2022, inflation in Germany (10%) and Austria (10.5%) reached the highest levels in 70 years. You might de facto shout to the monetary policy heads at the European Central Bank: Learn history! Better today than tomorrow.
