annual losses from inflation on $100 are pretty trivial though, somewhere around $3/yr. the stickiness of wages is the bigger issue for the poor re inflation.

annual losses from inflation on $100 are pretty trivial though, somewhere around $3/yr. the stickiness of wages is the bigger issue for the poor re inflation. also people with assets are not totally protected from inflation. suppose I bought a $10k asset in 2001 that, for whatever reason, perfectly tracked inflation. if I sold it today, I would owe 15% tax on a nominal gain of 50%, resulting in a real loss.