Milton Friedman always emphasized that the root cause of inflation is a monetary issue. It is not caused by gas stations raising their prices out of avarice or by Home Depot overcharging lumber consumers; rather, it is brought on by an excess of money chasing an undersupply of products and services that have been produced.

In other words, inflation occurs when people have enough of money but the economy is not creating goods for them to purchase. 

This was a well-known and pervasive issue in the Soviet Union. Although the economy of that long-gone socialist nation was incredibly unproductive, the administration enjoyed rewarding its populace with pay hikes in order to appease them. Because there was nothing to buy with the money, people had full bank accounts (or, more likely, mattresses filled with cash), which is why there were so many jokes about waiting in lines and going to stores with empty shelves; it was kind of like the United States now, except worse. Because its politicians didn't know when to quit with stimulus payments, America is currently seeing its greatest inflation since the Carter administration. A certain degree of government assistance appeared reasonable when COVID struck. After all, the government was forcing people to remain at home and refrain from working or operating their companies. However, in the subsequent two years, governments poured $10 trillion into an economy that was churning out fewer goods and services than it had previously. Additionally, the interest rate on a 30-year mortgage dropped as low as 2.5%. While goods and services, especially homes, were few, money was not difficult to get by. At last, reality set in. 

Most experts, regardless of political affiliation, agree that President Joe Biden's $1.7 trillion stimulus plan in early 2021 contributed to the issue and served as the turning point that resulted in the current horrific levels of inflation. 

However, some state and municipal administrations appear unfazed and willing to exacerbate the issue.

Depending on their family condition, California has reportedly started mailing its residents stimulus cheques worth anywhere between $600 and $1,100. Similar stimulus measures are being implemented by the governments of Maine, New Mexico, South Carolina, and a dozen more states. A county in New York is currently giving its senior residents $200 checks. Keep in mind that this is simply free money and not means-based welfare. Although it is meant to aid in coping, it really contributes to inflation.

Not to draw comparisons between the Soviet Union and California or Onondaga County, but economics is the same everywhere. Similar to this, California politicians threatened to increase the cost of housing when they proposed giving incentives to first-time homebuyers equal to 17% of the cost of their new home.