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If inflation is a purely monetary phenomenon caused by printing money, why do Telangana and Sikkim experience higher inflation than the national average?

> I haven’t run the numbers but if you were to chart inflation vs the money printing done by an economy, you’d likely find a positive correlation.

As a member of the Eurozone, Estonia can't print money. That didn't stop it from inflation hitting 23%.

It's almost as if inflation is influenced by local factors...



> As a member of the Eurozone, Estonia can't print money. That didn't stop it from inflation hitting 23%.

Actually, according to Wikipedia, Estonia joined the Euro in 2010. There have been a lot of Euros created in the last few years (looking at the M2, we're roughly at the point where most Euro appeared after Estonia joined in to the project).


There's something else going on in Estonia, or arbitrage would be happening (importing cheaper stuff from the eurozone).


Cantillion effects possibly




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