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In that scenario the value is going up relative to the currency the property was purchased in but that's because the value of the currency is diminished.
by robjan 4y ago
In that scenario the value is going up relative to the currency the property was purchased in but that's because the value of the currency is diminished.
- s1artibartfast 4y agonot necessary. You can have income growth without inflation. Any time income growth is higher than inflation, you can buy more goods with your income This is why people can buy more goods and services in 2022 than in 1 AD. If income growth always lead to equal currency devaluation, economic development would be impossible. In growing economies, income growth exceeds inflation rate. If the value of a purchase tracks income and not inflation, the real value goes up. In the USA, real GDP per capita (adjusted for inflation) has increased 30+% since 2020.[1] https://fred.stlouisfed.org/series/A939RX0Q048SBEA https://fred.stlouisfed.org/series/A939RX0Q048SBEA