Its not the root cause. Im sure that money creation plays a role.
but at the end of the day, the consumer, doesnt see the "new money" as the issue.
I just quoted an HVAC client- 2019 Chevy 2500 - needing $1,000,000 CSL ( liability limit ) for contractual obligation. Has current coverage that just jumped to $7100 annual. The NEXT BEST PRICE? $8333 annual.
Now, thats ONE PICK UP TRUCK he uses in business to come to your home to repair/install. First, that cost is double what it was a mere 3 years ago. I could write that at $4400.
Now you start to pinch this same guy at the pump, at the grocery, at the supply house - and that $7100 looks like $9000. So what does he do? Well when you call him to come look at your AC, instead of $95 service charge, its $125. So you call another. then another til you find the guy willing to do for $95 ( which is what you are used to paying )
Meantime he just lost your business. Repeat this 4-6 times a day. Now his revenue is dropping because of price point.
It all sno-balls.
Trucking is even worse. I dont know how LA based trucking companies/operators even make a living. And thats JUST INSURANCE costs- nothing else that affects their ability to earn a living.