00:00Now, one of the biggest misconceptions about tariffs, though, is that it leads to inflation
00:05or prices going up. I'm sure you've seen those scary headlines, but they're wrong. If you ever
00:11study economics and people like Milton Friedman, who's considered to be one of the most respected
00:15economists of all time, he said that the only entity that can create inflation is the government.
00:22No one else can make prices go up other than those who possess the power to create money.
00:30They don't produce inflation for one simple reason. They do not own a printing press on
00:36which you can turn out green pieces of paper. Consumers don't produce it. Producers don't
00:42produce it. Trade unions don't produce it. Foreign sheiks don't produce it. Oil imports
00:47don't produce it. What produces it is too much government spending and too much government
00:52creation of money and nothing else.
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