A governmental easy-money policy has many repercussions. Currency debasement, the enabling of unnecessary wars, and increases in the size of federal power are among them. And political interference into monetary affairs always leads to economic distortions.
These distortions in turn lead to government imposition of rules, regulations, taxation, and tariffs, all of which favor a handful of powerful and influential corporations to the detriment of small- and medium-sized businesses.
And easy money leads to the impoverishment of the middle and lower classes and an increase in government dependence. How can anyone who has come to depend on his government for his livelihood feel empowered to demand that the same government allow him the freedom that he thinks he deserves?
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