The basic macroeconomic answer is this:
If there is unemployment of people and resources, spending money can directly hire works and access those resources. This adds more incomes to buy the existing stuff, but also adds more work so it adds more stuff. Prices stay the same.
Once “everyone” has a job and the available resources are being used, then any extra money anyone spends is just going to bid prices (like an auction) higher, so the entity with extra money gets the scarce resource and those who offered less do not.
The real world is imperfect, money starts bidding up prices before literally all the people have jobs.
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Sometimes something happens that messes up how much resources we have, like people stop working for a year because of a lockdown or we lose lots of trade because of another country’s lockdowns. Then we have less stuff to buy but the same amount of money. That money can no longer buy the same amount of stuff, so it’s extra money and it drives up prices. In this event, the prices will continue to rise until the stuff shortage gets fixed.
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