Inflation doesn’t stem from external forces or market failures, nor is it an unpredictable ‘black swan’ event, as described by Nassim Taleb. Inflation rather results from poor government policies. It’s more like a ‘pink flamingo’, an obvious problem that everyone sees but neglects to address until it’s too late.

Nobel laureate Milton Friedman astutely commented that, ‘Inflation is the one form of taxation that can be imposed without legislation.’