1.) where does inflation come from and how can I fight it?
2.) where can a windmill be built, I have not managed to build one, although I have invented machinery

1) I don't think you can directly influence inflation, but courthouses reduce city costs, which will help.

2) Windmills go on hills.

1) Inflation comes at a fixed rate and cannot be effected in any way. It's the games way of artificially increasing the upkeep costs as time passes.

Quit printing all that paper money! You'll debase your currency that way! Might I suggest that instead of using your first great merchant for a trade mission or to gain a technology, that you use him to create the Federal Reserve? That alone won't help, but once you get the Alan Greenspan great person, appoint him as Fed Chairman.

:D

In my opinion forget the Federal Reserve and go back to the gold standard then inflation will disappear altogether.

In my opinion forget the Federal Reserve and go back to the gold standard then inflation will disappear altogether.

Ah, but your wealth creation will dramatically slow, and your GDP will decline drastically. Your standard of living will go down, and wasnt that what you were trying to avoid by reducing inflation to begin with?

Don't forget that you will end up with a debased currency which will end up causing inflation all over again :P

1) Inflation comes at a fixed rate and cannot be effected in any way. It's the games way of artificially increasing the upkeep costs as time passes.

In more detail, I believe

Inflation = Rate* Upkeep/Maintenance costs

The Rate only changes by increasing a fixed amount each turn.

The Upkeep/Maintenance, that you have some control over.

I HATE ANY COUNTRY THAT PRINTS FIAT(some really fancy french word for WORTHLESS!!!) MONEY

*smacks the entire globe*

I did a very long post about inflation and how it should be a money maker for the government but I cant find it! It was a really good one too...

I HATE ANY COUNTRY THAT PRINTS FIAT(some really fancy french word for WORTHLESS!!!) MONEY

*smacks the entire globe*

I did a very long post about inflation and how it should be a money maker for the government but I cant find it! It was a really good one too...
Those "fiat money is evil" articles are dime a dozen anyway. They're usually a realm of hardcore libertarians and not of serious economists.

You're forgetting that governments don't care about inflation if their own pockets aren't yet lined. They want more money in the system, and more for themselves.

As long as we can reliably estimate the value of currency, I don't care if their currency is worth 1/10,000 of $1. Because they're pockets are heavy, I can walk unimpeded, get to the store faster, and buy more.