Please help me to understand, why inflation is bad?

Tell that to the guy who had $100,000 on his bank account in 1930.

Pretty pointless thread.

 

I've kinda of wondered that too. In fact I was thinking that a great way to tax, would be just to print more money. It would be very cost efficient. It would bridge the gap between the rich & the poor... since rich people have more savings, and increase sending as the cost of holding is greater

 

LOL I hope you realise that politicians figured this out a long time ago ? That's what's been happening for quite some time man.

 

lol. Inflation is 2.5% right? at least what I heard. I think thinking of inflation of 8ish %

 

he earned interest on that. the 'dollar value is .5 cents today' guys never mention that the money could have been invested

 

Thanks all for the reply. I have been busy this weekend. Sorry about late response.

Well, I agree with one follow up posts. Inflation is good for people who has debt and bad for people who has money. That's about it.

If we allow a huge inflation, we basically wipe out all we did in the past and start over again. Well, in the past few years, we are doing too well, why don't inject a huge inflation and let us start over again?

I believe at this point, lot more people has debt than fortune. The financial system is broken, money is not moving. Inflation is the only way to solve this problem, IMHO.

Freewilly

 

You solve the problem with time. All the excesses are brought back in to balance and then demand begins to pick up. Inflation is nothing more than a tax. Sooner or later the govt will rev up the inflation tax on the unsuspecting public.

 

Freewilly,

You ignore millions of seniors and others that inflation will put in poverty. Many can't start over at this point. Many are not young and penniless. You have a rather selfish and self-serving point of view - but then again, most people do.

When you form your views you may want to take a giant step outside your mind and think of others.

 

Baby boomers created many of these problems. Did they not? If they retire penniless, they have nobody to blame but themselves.

They mortgaged the futures of their grandchildren, great grandchildren, and possibly their great great grandchildren. Assuming this country even survives that long.

When you create a monster, don't get upset when it eats the village.

 

Well, I am doing fairly well right now. I would lose quite a bit if inflation goes up. So calling me selfish is probably not right.

You are right though, I am still young. i can afford starting over.