Higher wages, to be sure, are often the justification used by government officials for the inflation they are going to create anyhow for other reasons. They will assert that the government must inflate the money supply in order to prevent unemployment with the higher wage rates. But why did the wage rates have to be increased in the first place? This is surely not an act of God or an unavoidable natural phenomenon. To assert that wage increases caused inflation is to get the cart before the horse…. Though it is true that wages rise during inflation like everything else this is the result and not the cause of inflation.