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Why are you saying it like it is something bad?! Inflation is a great equalizer, as it removes the disparity in society! Also, when people know that their asset
by Andrew_nenakhov 4y ago
Why are you saying it like it is something bad?! Inflation is a great equalizer, as it removes the disparity in society! Also, when people know that their assets will depreciate over time, they will be more economically active, doing more investments and buying more things now, and not later. It is also a chance to get rid of your debts, at a smaller cost!
- rank0 4y agoI can’t tell if you’re joking or not… Financial assets actually do great in inflationary environments. Most people don’t have any. Why do you think most Americans can’t afford housing? Most peoples wages won’t even be close to increasing 10%/yr for a decade.
- Andrew_nenakhov 4y agoI was only half joking. > Most peoples wages won’t even be close to increasing 10%/yr for a decade. It's only because you aren't used to such inflation. Once the cycle kicks in, wages start increasing accordingly. I know it first-hand after living in a country with high inflation. If you are living not in a closed off country, there will be more successful countries out there, so if you won't increase the wages of the workers they'll leave for other economies (or just work remotely), thus, reducing the workforce supply, which drives up wages.