People are being told by governments, central bankers, and leading mainstream economists that money-base expansion is not inflationary — because the money would remain in the portfolios of banks and would not spill over into the hands of firms and private households. This is, to put it mildly, an uninformed view. Let us start right from the beginning, writes Thorsten Polleit.

This audio Mises Daily is narrated by Floy Lilley.