In 1950, my dad earned about $50-100 (not sure exchange rate at the time) per month and considered middle-class.
So translated; 40 cents was ~0.5% of a month's salary. Today a monthly salary is ~$3000, so 2 drinks are ~$15. Around here, that is about right, ~$9-15 each depending on place.
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If that were true he wouldnt be able to buy anything eith it. The fact that the value changes over long periods of time is not the same as saying its worthless..
of course there's more to the economy than buying drinks, and even if _all_ CPI metrics across the _entire_ remained absolutely identical inflation would still constitute a tax on savings, but neither of those would make the currency worthless
Its not "nearly worthless" either... In fact its worth is quite high, you can literally buy **anything** with it thatis for sale.
And? That has nothing to do with how much its worth today unless you relate it to wage and buying power today... What does someone from 1910 have to do with the value of paper bills today?
Keep in mind we do not sit on money we invest it, so anyone from 1910 **gained** value from that inflation didnt loose it.
You really arent getting this... Right, thats a good thing, it means investments from the 1910 have FAR more dollar value attached to it than they would otherwise... We **want** that behavior from money as it encourages a healthy economy... please try to understand basic economic theory, you really are missing the point.
> please try to understand basic economic theory
Here we go again with mother fucking Freemo. It's amazing how condecending you can be. Fuck off dude. You think there is only one "basic economic theory"?
Might I recommend https://mises.org/
No there are **many** and you seem to be ignorant of literally all of them.
If you arent interested in debate be a grownup and... dont... debate.
I will give whatever feedback I feel like, you are welcome to debate or walk away. To engage in debate then cry foul as if you were forced sounds like a little toddler having a tantrum. Grow up.
This reaction though is pretty specific to freemo though. His particular methods of debate make me want to hit him. It's a regular thing.
CPI metrics are interesting because in some respects we have more material wealth but in others (ex housing) the state of things looks really bad. on the whole it seems to me like things are probably slipping
I think real the problem with inflation is not that you have dish out more paper to acquire the same goods, but that you have near-zero control over it. When your currency gets devalued — it's not up to you to decide, of course most of the time the monetary means are used to stabilize the economy, but what if some mistakes get made in the process?
Investing sounds nice in theory and if you make reasonably more than you spend, you can even diversify: lose some here, gain some there — all in all it might even be beneficial to you. But most can only "invest" in their day-to-day needs. So what would happen when prices go up, but all of a sudden you wage doesn't go up accordingly? Your central banker will just shrug and say: "Well, life is hard, man up!"— now that is the problem.
In hylerinflation wages are delayed behind cost of goods and this causes serious issues.
Inflatio is only good when its low enough that it has a slow long term effect. We want inflation but not too much or too little
