Wake up Sup Forums

Wake up Sup Forums

You don't know shit about economics, do you?

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> it doesn't shrink the poot's capital
> implying the rich even keep most liquid assets
This has to be bait. Not even leftypol is this stupid

>implying most of western countries debt isn't in the hands of the rich
>implying inflation wouldn't reduce such debt when in foreign currency

forgot to say nice meme

It's a bad thing because it shrinks your spending power because the currency becomes worth less and less. Do you enjoy paying more for less over time?

Inflation hurts the poor and middle class the most. You're retarded OP.

That must be why my grandpa bought a house with a single salary in the family while inflation was over 10% while now people are becoming increasingly homeless while inflation is at -1%

You should try deflation sometime you stupid gaijin.

>inflation is the only factor in house prices
pastas are retarded

It makes everyone more poor on a linear scale

Inflation of the currency drives up the prices of all goods, it's not the shrinking of savings it's the shrinking of the spending power of all money.

If the price of milk goes up 10p due to inflation who does this hurt the most? Well the people who can least afford milk are the poor, they're hurt the most by inflation because they can barely make ends meet and they're driving up the price of goods. The cost to middle class and above literally doesn't matter, once you earn about £30k $40k things like the price of food is completely irrelevant.

When the savings of rich people are hurt what does that do? Well it discourages savings, what is savings spent on? Most of the time savings is re-invested in more business which provides jobs and opportunities to people who cannot work for theselves. So it hurts economic growth and jobs.

The rich might lose more absolute money because they have more in savings, but the truth is the rich can afford to lose their money, in fact with inflation high and interest low that discourages savings so they just go and spend it on luxury goods which makes their life better.

Mamma mia this is a-genius!

Inflation tells you nothing about the state of the economy.

In the 70s, yearly inflation was 10%, but wages grew 15% yearly, so everything was fine.

Did someone mention the word inflation?

how, their debt goes down and they dont have enough cash in the bank to really be affected.

>their debt goes down

How does it go down? what will make my pay will keep up with inflation?

it makes my groceries cost more, gas cost more... f*ck that. Would rather there be zero inflation.

I was not talking about prices. Nowadays House prices in Italy are at an all time low. But nobody can afford one.

>implying salaries don't grow

you know that's the point. Here we have euro stronk so we have to deflate salaries instead of inflating the currency. It's a dog chasing its tail until in collapses into a black hole.

Well said my friendo

law and sovereign currency, something the eurozone has not (idk bout the us tho)

>i was not talking about prices
>talking about inflation
>doesn't know inflation rises the prices on goods first then labor if ever.

wages, welfare, baby bonus, cash, etc. are not tied to inflation, but food prices, goods, services, etc. are tied to inflation. Thus as inflation goes up poor can afford less and less until they're maxed out sustaining their existence.

On the contrary rich people keep their assets in stocks, non-US currency, precious metals, ICO, etc. Rich people can also negotiate raises easily as they are expected to, while poor people work for the lowest legal limit.

>law and sovereign currency, something the eurozone has not

So I ask again what will cause my wages to rise with inflation?