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Actually, all you have to do to dodge inflation is dump your idle currency into literally anything else. Rich people hang in the circles where these plans are m

Actually, all you have to do to dodge inflation is dump your idle currency into literally anything else. Rich people hang in the circles where these plans are made so you'll never take them by surprise. (It'd be interesting to look at Cyprus' banking records and see who would have been impacted had the haircut happened suddenly, two months earlier.) So inflation is irrelevant for the little guy, and easily dodged by the rich, leaving the middle-class to get shafted.

CuriouslyC 6y ago
No argument against the rich having the most time to prep for inflationary policy, but the middle class has their wealth mostly tied up in mortgages, so in no way would they get shafted. Pensions and social security would be garbage, but they're garbage now for most people anyhow.
imtringued 6y ago
>Actually, all you have to do to dodge inflation is dump your idle currency into literally anything else. It doesn't work that way. If you want to protect yourself from inflation you have to deploy that capital productively or alternatively be close to the source of the inflation (the central bank). If you are actually doing productive work then workers will see their incomes grow and if workers are underpaid relative to assets then wage growth will continue until both assets and incomes are roughly on par. After that assets will keep up with inflation. The benefits to workers massively outweigh the benefits to asset holders. When you consider that the central bank is just blindly handing out money to public companies it's basically the opposite. It's actually perverting and distorting the economy because the money isn't going where it is truly needed. If you are rich this is what you want. You want to have lots of money and a workforce that works for peanuts to make your relative wealth even bigger.
- HexagonalKitten 6y ago
  It sounds like you're saying that to avoid drowning you merely need to swim upstream carrying all your workers. Anyways, by rich I mean the 3%, not the 0.001%. Those who are very comfortable, but who aren't captains of industry. Professionals vs business people. Can't they (and this is an honest question) do well by locking their income into things that will get more expensive, when measured in currency? Sure their purchasing power will fall, $ for $ with everyone else's, but by selling that real property when needed they'll have more of those $s than people who rode the currency into the ground. Right?

CuriouslyC 6y ago

No argument against the rich having the most time to prep for inflationary policy, but the middle class has their wealth mostly tied up in mortgages, so in no way would they get shafted. Pensions and social security would be garbage, but they're garbage now for most people anyhow.

imtringued 6y ago

>Actually, all you have to do to dodge inflation is dump your idle currency into literally anything else. It doesn't work that way. If you want to protect yourself from inflation you have to deploy that capital productively or alternatively be close to the source of the inflation (the central bank). If you are actually doing productive work then workers will see their incomes grow and if workers are underpaid relative to assets then wage growth will continue until both assets and incomes are roughly on par. After that assets will keep up with inflation. The benefits to workers massively outweigh the benefits to asset holders. When you consider that the central bank is just blindly handing out money to public companies it's basically the opposite. It's actually perverting and distorting the economy because the money isn't going where it is truly needed. If you are rich this is what you want. You want to have lots of money and a workforce that works for peanuts to make your relative wealth even bigger.

HexagonalKitten 6y ago
It sounds like you're saying that to avoid drowning you merely need to swim upstream carrying all your workers. Anyways, by rich I mean the 3%, not the 0.001%. Those who are very comfortable, but who aren't captains of industry. Professionals vs business people. Can't they (and this is an honest question) do well by locking their income into things that will get more expensive, when measured in currency? Sure their purchasing power will fall, $ for $ with everyone else's, but by selling that real property when needed they'll have more of those $s than people who rode the currency into the ground. Right?