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A comment on Risky Mortgage Bonds Are Back and Delinquencies Are Piling Up. Parent comment

Re:Risky Mortgage Bonds Are Back and Delinquencies Are Pilin... by dragonwriter on Tuesday November 05, 2019 @05:18PM (#21457378)
> I would like to understand when the inflation happens and where it comes from. More money chasing fewer goods, sure

It comes from weakening the perceived future security of the currency, which reduces demand for it; once you monetize fiscal needs, your currency is perceived as one more at risk of being devalued to monetize fiscal needs, which itself devalues it.

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Re:Risky Mortgage Bonds Are Back and Delinquencies Are Pilin... by skybrian on Tuesday November 05, 2019 @06:34PM (#21458067)
So it's all about perception? The Bank of Japan has been trying to credibly promise 2% inflation for a while and failing [1]. Maybe if they monetized some of the debt, people would take them seriously?

[1] https://www.japantimes.co.jp/news/2019/08/23/business/econom...

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