PRABHUPADA: Everyone can understand this is pure cheating. I give you a hundred dollars, a piece of paper. That's all. And you accept it. You want to be cheated. You thought, that "I have got now daily, hundred dollars. So let me work very hard." He does not consider that "I am not getting a hundred dollars. I am getting a piece of paper." So people have no brain to understand even. "This is not hundred dollars. Give me cash, hundred dollars." Then everything, solution will be...
There will be no inflation. Because I know that paying you a piece of paper, I can cheat you, therefore I am printing notes, to cheat so many people. Therefore inflation. But when there will be no possibility to cheat you, then there will be no inflation. Here I have got the opportunity, because I know that pushing forward a piece of paper, I can cheat so many people. So there must be inflation. Is it not? This is not psychological? If I know that I can cheat you by this instrument, so why shall I not increase that? That is inflation. What do you think, Karandhara?
KARANDHARA: That's the basic principle, yes.
PRABHUPADA: Yes. I am cheating you, and people accepting my cheating.
KARANDHARA: The governments actually started the whole thing. They instituted paper money and they instituted it because it is a cheating process. But everyone is participating. So it is just going on and on. That is the real cause of inflation.
PRABHUPADA: Yes. That's it. They are getting encouragement in their cheating business.
... BAHULASHVA: Srila Prabhupada, what can we do to curb down these rascals?
PRABHUPADA: Chant Hare Krishna.
BAHULASHVA: That will curb them down.
PRABHUPADA: Yes. They will be purified. The more you chant Hare Krishna, they will be purified. This is... All problems are there on account of misunderstanding. What we are distributing? We are simply moving misunderstanding and bringing them to knowledge. This is our propaganda. So Mr. Theologician, is this suggestion appealing to you?
PRAJAPATI: It seems all right for ordinary dealings, Srila Prabhupada, having this money, what's going on, but for large scale transactions it might be very difficult. And as the practical basis, transactions of thousands and thousands of dollars, would be...
PRABHUPADA: That will be good for the people. Because large scale transaction is there, therefore the capitalists hoarding. Capitalists hoarding. Goods are there, everything is there. You pay black price, you get it. Then, when somebody's hoarding, he is not giving to the market. So if the large scale industry and trade becomes stopped, that is good for people.
Jagajjévana: Does that mean the same amount of gold is here?
PRABHUPADA: No, larger scale... Suppose if you want to store, say, thousand kilos or a thousand bags of rice, so you have to pay me gold. But you have no such gold. Therefore large scale industry will be stopped. Just see.
KARANDHARA: Then the price of rice would go very low.
PRABHUPADA: Yes. Then you get actual price and actual value. Goods are there, any part of the world you go, there is enough commodity. But these rascals, they are hoarding, and they are not giving in right time. So people are suffering.
KARANDHARA: Yes. There's a... They buy now. They buy the goods before they are even grown, from the commodity market.
PRABHUPADA: Yes, because they can pay in this paper, the bank will advance. So as soon as you... You have to introduce this metal coins, value. The whole cheating scheme will fail.