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> Inflation generally hurts the middle-class the most. The middle class typically has a mortgage and student loan debt for which inflation benefits them. The
by reedjosh 5y ago
> Inflation generally hurts the middle-class the most.
The middle class typically has a mortgage and student loan debt for which inflation benefits them.
The closer you are to the spiket, the more debt based inflation benefits you.
The poor do lose the most.
- endisneigh 5y agoYou're not wrong, the the middle class has far more savings than the poorest quartile. Is it this you disagree with?
- reedjosh 5y agoI disagree that the middle class is hurt the most. Whoever can leverage the most debt for assets benefits the most under an inflationary scheme. This tends to be banks and generally wealthy people. Stated inversly the poorest are hurt the most as they are least a part of this wealth generating scheme. Cash savings is largely irrelevant. Most Americans are net negative cash wise via credit cards. So stating the middle class is most hurt doesn't follow logically. I'm basically middle class, but to keep a substantial cash savings would be financial idiocy in this inflationary system.
- imtringued 5y agoSo who's losing if nobody has any meaningful monetary savings? Sounds like the rich because they will put like 5% of their portfolio into cash and higher wages eat into real wealth.
- lottin 5y agoBasically everything you say is wrong. Inflation is typically priced in and therefore has little effect on debts.
- elvatoloco55 5y agoYou have no idea what you are talking about lol There is no inflation Inflation is transitory Inflation is actually good That was priced in? How about in other countries? Where the next day the currency devaluates 50%?
- dogman144 5y agoin short, you're focusing on savings while ignoring purchasing power
- dogman144 5y agoyes