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Except that inflation was worse in the 70s-80s when the lower/middle classes were apparently reaping greater income gains vs the subsequent decades, when they w
by msluyter 9y ago
Except that inflation was worse in the 70s-80s when the lower/middle classes were apparently reaping greater income gains vs the subsequent decades, when they weren't:
https://inflationdata.com/Inflation/Inflation/DecadeInflation.asp https://inflationdata.com/Inflation/Inflation/DecadeInflatio...
(Note that the graph on the parent article is inflation adjusted. "Note: Inflation-adjusted annual average growth using income after taxes, transfers and non-cash benefits.")
- runT1ME 9y agoDon't confuse CPI with inflation.
- timerol 9y agoTo add some more specific data to my parent, from http://www.usinflationcalculator.com/ http://www.usinflationcalculator.com/: Inflation from 1946-1980 (34 year period): 322.6% Inflation from 1983-2017 (34 year period): 145.9%
- chiph 9y agoI recall Dad getting phone calls from his mortgage company back in the 70's. They had bought their house in the 60's and had a rate around 3.5% and the caller wanted him to refinance. "What's the rate?" "Its a low-low 17%!" "No thank you." The idea of a 17% mortgage is frightening.
- candiodari 9y agoAnd yet, buying a house back then at 17% mortgage would probably have been the best investment decision of your life.