May someone please explain this to me? I don’t understand all this capitalist jargon
A reserve army of labour is required in order for people to accept jobs with unfavourable compensation. High unemployment makes people desperate to work ensuring that they can be exploited more easily.
This is the part I understand unfortunately. How does it eventually lead to inflation though?
The inflation is largely an artifact of unbridled money printing and wage stagnation. It looks like they want to lower prices by paying people even less. This will only inflame the contradictions further and eventually lead to civil unrest.
He doesn’t explain anything. It’s just assertions.
You can imagine why people might link unemployment to deflation, or for that matter a dozen other things. From what he says, it doesn’t sound like he has a deeper understanding than your average armchair economist.
