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It also hurts people who have more cash assets more than those who have the ability/knowledge to invest their savings is stocks (which typically adjust for infl
by AWildC182 7y ago
It also hurts people who have more cash assets more than those who have the ability/knowledge to invest their savings is stocks (which typically adjust for inflation).
- dsfyu404ed 7y agoi.e. the few middle/upper middle class people who choose to live within their means, keep a rainy day fund, save for a vacation instead of putting it on a card, etc. I guess I'll just hoard ammo and gold bars instead of building savings. At any given time at least one of those is in high demand.
- Dylan16807 7y ago> i.e. the few middle/upper middle class people who choose to live within their means, keep a rainy day fund, save for a vacation instead of putting it on a card, etc. You're describing someone that's good at managing money, which runs counter to the idea of having a big pile of uninvested cash.
- dsfyu404ed 7y agoI'm describing someone who values stability and liquidity over returns.
- Dylan16807 7y agoIs there any circumstance where you need more than a couple month's income to be in liquid form, without notice? Inflation doesn't have a major impact until you're building up huge amounts. And if you would ever actually consider gold for stability, stocks should be no problem at all.
- benj111 7y agoThose same people should be saving towards a pension, which should be invested in the stock market. Cash nearly always loses to inflation, that's why you're only supposed to keep medium/short term money in the bank, longer term saving should be done elsewhere.