06-16-2021, 04:15 PM
(06-16-2021, 04:11 PM)crimsonghost747 Wrote: Inflation is certainly a must in the modern economy. Not just in the US but in pretty much any western country. I know the EU is absolutely shitting themselves over the amount of debt that some of the members have, and inflation is indeed pretty much the only way to take care of it, seeing as as your points #1 and #3 are true in the EU as well and the ECB will simply not let anyone fail in their debt obligations since that would literally be the end of the euro and most likely the end of the EU. It just won't happen.
But yeah a 2%-3% inflation wouldn't worry me too much. Now if we start talking about 5% then I start getting worried.
Overall, as long as it's below my portfolios average dividend raise % then I'll be fine.
But most people aren't that lucky. The average joe with no investments will be in a tough spot if inflation creeps up.
There is a country somewhere there, far far away, where the YoY inflation was somewhere just north of 2%. And the YoY wage growth? 0.2%.
Someone tell me how that doesn't end up in a disaster for the regular joe.
It has already happened in America:
![[Image: large_wMMFc9vl93njMaDg7aEhjX2O_Qo9AQ80F6zscRVdp0w.jpg]](https://assets.weforum.org/editor/large_wMMFc9vl93njMaDg7aEhjX2O_Qo9AQ80F6zscRVdp0w.jpg)