Chapter 5: General Considerations on Inflation
Inflation is defined here as the extension of money supply beyond free market production; or, in other words, extension of money supply by violating private property rights. Other recent definitions (like the growth of prices) do not help in understanding of the problem as much as this one.
Why would anyone cause it? Creation of new money benefits the creators, which is not bad in itself. Problems arise if someone wants to force the increase of money supply. A forced inflation equals redistribution to the profit of some and detriment of others.
Inflation is, according to Hülsmann, impossible to unite with Christian ethics (and not only those). He usefully notes, that basically all human activities are to someone's benefit and to someone's "cost". That is just, as long as the property rights of others are not injured. It is not the case for a thief or a fraud - even one creating a fake money certificate.
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