4 ms·

Inflation is tax on the poor.

• Mikeb85 11y ago
  Except it's not.
  • pooper 11y ago
    I'm sure you can do better than that as a student of economics...
    • Mikeb85 11y ago
      Of course I can. But I don't need to. If someone says the sky is green with no justification or explanation, do I need to write a paragraph about why it's not green?
      • minot 11y ago
        I guess inflation is tax on those who hold cash. Inflation is tax on people who hold cash (or are on a fixed income that will not go up as inflation drives prices up). My thought was that inflation hurts the poor the most. If someone is rich, they probably hold more than just bank notes and government bonds. They hold controlling interests in the markets. As inflation goes up, they will hurt but the rich will not hurt as much as the poor will.
• jessaustin 11y ago
  Inflation is a "tax" on those who have savings. In some cases (e.g. elderly retired) those who have savings are poor, but mostly if you have enough money left over after eating and keeping the lights on to save, you're not poor.