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What is the inflation tax, and how might it explain the creation of inflation by a central bank?

Posted on November 3, 2022 by Shady

ECONOMICS
1- What is the inflation tax, and how might it explain the creation of inflation by a central bank?
2- Suppose a resident of Canada buys some machine tools from a company in Japan. Explain why and in what directions this changes Canada net exports and Canada net capital outflow.

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