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Rising inflation is not a new concern for the economies but growth in prices at alarming rate and others or moving towards hyperinflation situation is matter of concern which needs to be taken care of but no what the government are busy doing is just printing more and more notes or say printing more fiat making it worthless which can be compared to piece of papers only.The developed countries are also facing such issues even though it's less compared to underdeveloped or developing countries like in US or any but now this time UK is witnessing inflation peak in food prices with growth in one month only



Moreover the government has ramped up the taxes and cut the social benefits also.Who is gonna face all these situations in bad way? The middle class who have trusted the banking system and government but they failed to manage such situations.This is just a step towards devaluation of your fiat and you will be worth zero near future.

UK inflation rising (https://amp.theguardian.com/business/2021/sep/15/uk-inflation-in-record-august-jump-as-food-and-drink-prices-rise)

So what is best for you? Bitcoin can safeguard you from all these things and provide you deflationary future ahead and you don't have to worry about all these things.Have your bitcoin stacked with you ASAP.

I assumed the working classes would see the greatest impact. The middle classes will likely already own a lot of assets/production power that are inflation resistant.

Inflation going up, in the case of the ons statistics, only means:
1. More people are spending
2. The cost of living is rising
3. A mixture of the two.

It's normally 3 that causes an increase but it seems like it's normal to see something like this after a recession and it has happened before (notably the 70s).

All statistics and analyzes of the economic future are dependent on controlling the pandemic. Without it being controlled, it is not possible to talk about any economic measures or start solutions.

according to NIESR forecasts:

• price inflation will reach 3.9% early next year, almost double the Bank of England's target
• if the BoE begins to raise interest rates, it should fall back to 2%

Source: https://www.reuters.com/world/uk/uk-inflation-hit-39-early-2022-niesr-forecasts-2021-08-02

All expectations are subject to change, as unemployment indicators and employment accelerators are good.
It is in a hurry to judge the weakness of the British economy, but it is definitely better to keep Bitcoin than to keep the money

Govt aren’t bothering about these I guess. What they are on is only to print more fiat and directly involved in the inflation. In such a pandemic, it’s quite normal to have inflation higher than usual but it seems UK is going to have some trouble in the near future.

What sort of electronic device you are talking about? A smartphone through one can use electrum wallet along with the lightning network? Isn't it available to everyone these days? Or what are you exactly talking about? A hardware wallet which cost less than $100?
This is not the perfect thread to discuss about this.

Anyone that does not have their head buried in the sand knew this was coming and the media is doing everything they can to try to hide it, in fact just yesterday I read an article that said that this was a great moment to buy a house, and I was perplexed, the price of houses have more than tripled where I live during the pandemic and somehow this is a good moment to buy? Invest your money in a store of value before the pieces of paper you have in your pockets cannot buy anything, as it seems governments have decided to let the printers running and this time they are not stopping them.

Inflation will make things more expensive and the state will print more money to meet the money demand. So stocks, real estate, precious metals and Bitcoin will be the ones that will increase in value because they are actually scarcer than money.
Inflation can be controlled but they will always affect the economy in a negative way over time.

Its not just US and now UK. Its the problem of majority of the word. Here is a list of European Union (UK just left but was there for like 50 years.

https://i.imgur.com/8NkBbe0.png

Mostly because whole world is build on wrong economic model, wrong political model, was printing like crazy during covid panic, have reserves in a currency of slowly dying country which import much more than export and its only solution is to print more. Thats why everyone is now talking about global reset. Not US reset.

Its not really bad afterall because it could have been way worse. Some developing countries would have higher inflation rate compared to some higher income countries but overall if it stays on average of 2-3% for global economic then Im pretty sure that it would turn out fine in the end however the good part of this is that some countries are looking into some other reserve alternatives such as bitcoin

At the long term, this would be beneficial for bitcoin

If British people know where to look for a rescue against inflation that is going on, many of them will probably choose. Not only Bitcoin gold can be their financial savior during inflation. And until now, management to avoid inflation is just that. Early securing large sums of money in bitcoin and gold can give them some relief.
I see that not only for the UK, but inflation is also eating away at the big countries. That way more economic overhauls and Bitcoin offerings are up for adoption.

Bitcoin is of course a very good hedge for fiat inflation and devaluation, but just as you have said and likewise many of us are experiencing in our country of residence, the cost of living has skyrocketed, fiat money has lost a lot of it's value and prices of basic commodities are going up, thus it's going to be very difficult for an average citizen to take this advice of yours, people who can barely get enough to live on per day would surely not be thinking of Bitcoin; imo, as much as Bitcoin is good and necessary in our society today, as regards inflation and hyperinflation what is needed is quality measures from the government to handle the situation and bring things under control, only in such situation can peoples minds go in the direction of Bitcoin, except of course for the rich individuals.

The government printed quite a lot of money i understand, was it a very good move? No. But imo, at that time it was more less their only option as they had to do something, with little or no money in circulation. It's just like the issue with vaccines, anti-vaxxers think it's unnecessary and are of the opinion that our immune system is sufficient to fight the virus, but the truth is no matter how one is indifferent to vaccines, vaccination is more or less the only way to bring the spread of the virus under control.

While inflation in the UK might continue to rise in the short term, maybe hitting 4%, the reasons behind it are causing this distortion and it is being showcased here in a very misleading way. Around this time last year the UK government was trying to spur spending and wanted to get people spending within the economy, so they offered a 50% off discount with certain criteria at every restaurant in the country (they covered the excess bill to a certain price). This worked and lots of people took up the offer, however it is bound to show a drop a year later since it is a yearly month on month based comparison. You probably know this already, or should know this from even basic research, and have decided to paint a false picture of what has actually happened to cause this rise.

Yes it can be controlled, but it's always unavoidable. Also, printing more money papers seems to be as a way to control inflation while it sophisticates things more. The known solution is that the bank of England will rise the interest rate, prices will continue rising until people and businesses have les money to spend which will stop pricing from rising more and we reach a stability again [It will take several months].
Note that this high inflation was expected right after the Brexit. However, it didn't exceed the 4% during its history, so the UK is still far from an hyperinflation like happened before in Zimbabwe or Venezuela.

And that's the kicker--in addition to higher prices, taxes are going up and governments are looking high and low for ways to cut funding to various programs, and it's not just happening in the UK.  It's happening in the US and who knows how many other countries.

That graph doesn't look too bad, considering that it looks like inflation was over 5% in 2012 and is 3.2% now.  But looking at the period after the trough in 2020, it seems as though inflation is going up in a vertical line and that's scary.  There's no telling how far that trend is going to last, but if I had to guess I'd say it'll be a problem for years.

I hate to be pessimistic and I'm not a person wearing a "doomsday is coming" sandwich board, but Jesus....it's going to suck to be poor for a very long time, and even if you're in the middle class it's going to be bad.

I think some of the cost hikes associated with rising food prices are on the supply side. The price of oil has increased. Which raises shipping costs that passed on to businesses and consumers. Over the last 2 years farmers have recorded poor crop harvests, which diminish supply and also contribute to price hikes.

The media can say its "inflation" to keep the public's eyes closed as to what the real causes are. Leaving people powerless to be literate on economic and financial issues. Those who want to appear smart on internet forums often spam the catch phrase: "correlation is not causation".

Where is the correlation or causation between food prices and inflation? Did the UK recently print fiat in significantly greater supply? Is there anyone who cares about knowing legitimate facts behind rising prices and current market trends.

Inflation is just defined as not enough labor/products, too much supply. More spending is usually an outcome of higher inflation rates, but that isn't necessarily the causal factor. The cost of living increasing is a factor that goes into inflation calculation.

You can inject money through whatever mechanism the central banks want, or can limit the products/labor that exist in the market. Some central banks tried to dry up the market with taking on securities (aka the US), and you can see where that led to (5+ inflation rate). So it's not only that the cost of living went up due to a shortage of products, because Covid caused some shortages, it was a lot of mishandling of fiscal policy

Yes, depending on what is meant by middle class. There are people who understand that someone who earns approximately the median income is middle class and I think that's what the OP had in mind..

I prefer the definition:

Working class: relies exclusively on their job to live.

Middle class: depends on his job to live but has financial assets whose income improves his standard of living and that would allow him, if he loses his job, to hold on for a while with that income and/or by selling assets:

Upper class: does not need to work to live. He can if he wants to, but the income from his financial assets exceeds his expenses.

What is clear is that in a hyperinflation scenario, and in life in general, those who have financial assets will always be better off economically than those who do not, even if in a crisis those assets lose value and their income is reduced.

It will be way worse. Its just the beginning. Inflation is not pumping 20% in one year to dump back a year after. Its a long process. Things that we do now (printing 20% of whole $$ supply in 1 year ... same with euro and other big currencies) impact inflation for next decade. And there is nothing we can do now to stop it.

The worse part is that we did not spend printed money for things that boost amount of available goods (f.e tech, investments). We used it to pay people to stay home - produce less stuff. So we increased supply and decreased amount of stuff you can do with them.

So yea its really bad.


We can't say that stealing money from hard working middle class is not bad because it may be beneficial for bitcoin in long term.

The crisis is affecting each country's economy because all of them are printing money. Economists are saying that there is a debasement of USD in the world economy.
Inflation is inevitable for its happening since but the crisis is really speeding it up that even the rich countries are experiencing a hard time.

Institutions are also seeing BTC as a hedge for inflation that is why they are buying a lot of it. Countries that adopted BTC have the advantage over those that haven't.

One problem associating inflation across the world is that the low income earners and people on the street suffer but the rich gets better because they can have access to other amenities. Here the government want to come in the way of giving out loans but such loans don't get to the grass root but the rich get to grab it as they are influential and in government.

Exactly my point, people that think this way are so out of touch with the fact that not everyone is like them and that everyone can do what they're doing. The problem with the lack of empathy and being out of touch of some privileged people are really appalling, if the poor can invest then we wouldn't have any poor people in this sorry of an excuse of a world.

This is happening in almost every country. I don’t live in the UK, but in my country, this has been a serious issue. The government has just continued to print and print money and to the extent that they have devalued our currency. This time around food is costly, and most things that you would have gotten in the market at cheaper price are now costly as well.

The most annoying thing is that most of these food companies are now increasing the price of their products and reducing the quality which is very bad, some of them will even go to the extent of reducing the quantity. So at times like this, it is very important to make sure that you have your money invested in a really good asset that will save value for you.

Food prices have been affected by the politics of Corona and the closures that occurred in many countries, through problems in maritime transport, and the waves of weather fluctuations and the many fires that many countries witnessed.
There are also many diseases and mass deaths that have affected food prices, but all these changes are slow and will be stable soon.

Inflation is a nagging disease, and the government's weakness in finding solutions will make the middle and poor people pay the price.

Governments are not weak in finding solutions, except in maybe a few countries, governments are the root of problems! Finding a solution is that case would mean replacing them, but it's hard to replace them, they are just changing colors and the agony continues!




Always some problems with that fiat... I guess that the UK is far from Zimbabwe and Yugoslavia scenarios (some of the recent examples), so they shouldn't be so worried, yet! But as I said, always some problems with this fiat, and it's happening all the time, somewhere... when will people finally figure it out and stop using it? I don't see any other cure for fiat except ending it totally... at least now we have an alternative!

Owning a boat without hole is surely better than sinking one in the ocean but that doesn't imply you can sail through your journey easily and same is the case with middle class and working class that with rising prices they both will have to suffer a lot but Middle class can survive upto some more time with all their savings and financial assets but if you notice the hyperinflation situation won't let them survival chance at high level.So bitcoin is surely a better option for them both.The rich and lower class won't have much impact because rich or elite class are already having and gaining more day by day so these inflation don't affect them at much and lower class already are not having privilege authority to have or maintain such living standards.But working and middle class have to live upto that mark but it's creating problem for them with these high prices of necessary food item.

These kind of things are happening around the globe and what government is doing to counter such things is printing more money or ramping up the taxes and revising tax slabs and still these inflation charts are not relaxing and when next votes will come they will blame previous party for the same and this continues.

If there was not an option like bitcoin to us then definitely we would be living in delusional world where fiat is everything and inflation is just because the supply is limited or due to another factors but with bitcoin we see a firm future ahead which is away from any political hindrance and you can have your funds safe.The dollar and other currencies have gone 60-70% downward of the prices and purchasing power is reducing so it's better not to be poor at that time.If not bitcoin then backup your options but don't blame at that time because the time is not too faw away even if we are not pessimistic about it.

But this rate of inflation is manageable and we no need to compare 1.2% increase with hyperinflation while it will definitely affect the middle class so people have to compromise their savings part to compensate the inflation rate for a while, if they are someone who lives from paycheck to paycheck then they will be run out of cash. :)

Unfortunately inflation will keep on rising in every nation, it is not something that is rare these days and there is no solution to it neither.

Financial world is built basically based on inflation, and for years people kept on trying to convince the poor people that inflation is good and means growth, when in reality the money we have in the world is finite but good enough, we do not need to get Jeff Bezos another 100 billion dollars, only if we could distribute the wealth in the world by just enough.

Nobody says that there should be no wealth, but there shouldn't be wealth like the top 100 where people are having hard time to find food and shelter, that is the biggest difference.

The continuing high inflations right now happening in different countries is no longer a normal scenario anymore. It will cause the economy of such countries to collapse so while there is bitcoin right now that will serve as a good option, then probably adopting it might be a good start. UK is not an exception to this as this is facing a high inflation rate which if not addressed in as early as possible, the citizens will be the one to suffer. So its time for the country's leader to save the country's economy by having to adopt bitcoin and put an end to its never ending high inflation rate.

There's no way we can manage a high inflation rate if the price of basic commodities keeps on rising. Before we knew it, their country's economy has already started falling. Good thing bitcoin is here as a good reserve which will definitely stop the fast high inflation rate.

This might be the same reason with El Salvador why they started using bitcoin as a legal tender. Not just to stop the high inflation rate, but more on increasing individual's economy with the good opportunities that bitcoin may bring. So if you are residing in UK, things might get worse particularly with middle class but there's always a good option just waiting in the corner.

This is not just limited to the US now.

There are a ton of countries that have inflation of 3+% which is above their inflation targets.

People who think that this is going to be "transitory" is definitely going to be in for a rude shock when this stuff is still around in 10 years time. When you have money printing at these scales, it would be a miracle to not have high inflation.

In no way should an inflation rate in the low single digits be mistaken for an alarming inflation rate, let alone hyperinflation.  Even when the US had double digit inflation in the 1970s did the term "hyperinflation" even enter the discussion, because hyperinflation is both extreme and rare.  Talking about hyperinflation in an environment where inflation is still in fact historically low saps all your credibility and informs anyone reading your posts that you're prone to hyperbole and not to be taken seriously.

In this time of pandemic, some negative effects such as inflation are being seen in all economies and the United Kingdom is no exception.

Although we are overcoming the more difficult side of the pandemic, we can notice these ups and downs. It can also be attributed that in a nation like this where tourism is a source of income, it makes the economy respond to its needs, the lack of employment and the distribution of channels to a lesser amount could be a distorting element in its economy.

It's not just the UK,inflation will become a global problem.All that money printing,which occurred in 2020 will have to eventually transform into higher prices.The central banks will have to step up and increase the interest rates.
Having 2-3% inflation is not a big deal.The inflation in my country is anticipated to be around 7-10%.
Actually the British pound increased it's value against my national currency during the last few weeks,which weird.I've expected that the British pound will face severe devaluation after Brexit.

Unfortunately this is always the way it has been and there is no reason to believe this is going to change, unfortunately this means that those that are poor not only are not the best prepared to face the crisis that is coming they are also the ones that are probably the less aware of it, so not only they get hit by the crisis but they do not even know it is coming, which makes things even worse for them while the rich take advantage of the opportunities the crisis gives them.

There have been protests and at the same time people are struggling with it for real, my friends in the UK involved with the medical sector are forever worried about the tax layout for them, since they don't even have a say in that and it's not just the food market that's been affected, it's everything.
The government has to realize that, if they are loosing money because of the COVID, they don't have to go and and take that amount from the middle class. They are already trying their hardest to earn, the problem of inflation is something which is all across the world but in a developed country, it has a scope of being controlled which we are definitely not seeing being done.

Which financial assets do you recommend in an hyper-inflationary economy? Stocks? Crypto? Gold? All? Since the stuff will get more expensive, the company that makes the stuff should be valued at a higher price too. Am I right? It makes sense. What about bitcoin abd gold though? They should also benefit from the massive FIAT printing but gold is going down instead of up and that's very strange.

I think you are forgetting to add money printing and helicopter money, which, on the current situation are the factors that are making inflation rise, along with many people who have forcibly saved during COVID as their income was mostly protected and they are eager to go out, buy stuff and treat themselves. In Spain, that takes the shape of the "botellones", in UK it means full Pubs and TK Maxx sales.

That is what the governments always do, rely heavily on the middle class to bail them out, after all the rich can do anything to avoid paying the taxes and many of them are their friends, the poor do not have a lot of income to tax so they rely on the middle class to get the taxes necessary to keep the government going, and in the case of printing money they also rely on stealing the wealth of the middle class, the current system is unsustainable but people are not willing to do anything to change it.

I men inflation is not a new thing, we have been facing this problem from the dawn of the use of fiat, and every time we are faced with an economic problem the government tend to have one solution and that is printing more and more fiat, and the pandemic and the ravage that have caused for the health and the economic sector are still being processed today, so i actually feel like that using bitcoin as a store of value until the dust have staled and this inflation starts slowing down is the best option right now.

I have mentioned in my post that government only find it suitable to print more and more notes to tackle these fiscal deficit and making the fiat worthless in global market which in turn in contributing immensely to the hyperinflation situation.Many poor countries are facing such situations and it's really shocking to see million dollars bills also being printed to buy stuff like toilet paper only.Imagine the situation in that countries and bitcoin could be great relief for them and boost economy as well.The government policies are not going to work in monetary relationship with these money printing schemes.

I don't what situations you have come across but speaking of myself people have consumed their savings more in this Lockdown because there were loss of jobs and no work was around setting aside the corporate sector which started Work from home policy and were paying salary to staff but they also have cut off in staff.Infact all sectors were facing similar situation and people were tend to use the Savings to buy the stuff they needed and that's why economy witness diminished growth rates in these times.But yes those who have saved are eager to travel around and spend on stuff they want.But there are different preference and conditions of people.

Exactly. The system is running on the back of the middle class. Sometimes I think it is better to be a poor guy than being a middle class working guy. The poor get all the government/unemployment benefits, pay almost zero tax because the gov cannot afford to leave them to their deaths. The middle class on the other hand, is getting smaller and smaller every year. Whenever a financial problem happens, it is the middle class that pay the bill. It is disgusting.

I was talking back in a few posts before this about how it was silly for people to say Bitcoin cannot be legal tender because it is so expensive as a single unit and exactly I pointed out how so many national fiat currencies needs hundreds if not thousands of units to make a single small purchase and YET they are still used as legal tender despite the obvious inconvenience of holding thick piles of paper cash.

In these countries even the coins exist but nobody ever uses them anymore.

Pound is still so strong though and over long years their inflation is not as fast as many other countries. We always see GBP as the most "powerful" unit in Asia.

But that is precisely the thing, we do not know if this inflation is going to slow down, I know that it has done so done so in the past in which the current system has been in place and this gives confidence that the same will happen again, but it is not a sure thing, especially since it does not seem as if governments want to turn off their printing machines as the economic recovery is still very slow as the pandemic is still with us despite the efforts to vaccinate the population.

Even if it slows down, prices won't come down. It will have to slow down at some point when they run out of printer ink and when it does, we won't be measuring the goods against the dollar. It will be either gold, bitcoin or something else with scarcity. All FIAT money die when given enough time and USD is living its last moments.

Wow the truth impresses me that the British economy has problems, by pure and mere speculation I know that a country with stable economies already having 2% is something serious, possibly the UK has very effective action plans, inflation in Europe is already something that has to be a reason to be attacked.

The best they can do at this time is to anticipate possible economic catastrophes, those who can invest in Real Estate is excellent, also another of the safe haven options by nature is Gold, on the other hand Bitcoin also represents a haven of value For many, although many do not like or accept volatility, if a good portfolio is better to have that type of diversification: Real Estate, Gold, shares in the Stock Market and Bitcoin.

I really wish that is the case, however governments and banks are complete experts at manipulating the system and the population to their advantage, after all the fiat system should have collapsed long ago and still has not done so because they are doing everything in their power to keep it in place, however it seems that they are finally losing control of the narrative and people are waking up to the fact that any fiat currency is a scam and are looking for ways to protect themselves, and bitcoin is the best choice to do so.

The best ally the middle class has right now is bitcoin, so they should go for it, without any doubts. I believe those who don't adopt bitcoin and don't have powerful friends with influence in their countries will perish as soon as the global economies finally crash. Not only in UK, but what we see now in economics from a global perspective is like a Chernobyl reactor increasing in pressure (inflation) without effective measures to control it. At some point it will finally explode and the consequences will be harsh (hyperinflation, economies out of control, riots, savagery everywhere). Those relying on the traditional fiat system to survive will regret a lot for not adopting bitcoin when this day comes.

Bitcoin adopters should also be careful, because they can become easy targets for the desperate masses during an economical crisis outbreak.

I think this has affected a lot of countries, I mean inflation is an expensive damage that's inevitable for each country which if maintained can be a good indicator of a growth in a country's economy. Yes, it's good to invest in crypto, the only problem is that we have to be prepared for volatility because not every time, we get what we want.

of course the best for me is a currency that can solve that issue and that currency is no other than bitcoin .
 this why ive been stacking btc for a long time now just in preparation so that when the time comes when our country feels the same , i wont worry anymore .
 it will also be good if we can warn or educate the people around us if what are the challenges that an economy could face and how bitcoin can help solve that issues .

It is why we really need to prepare ourselves so when something becomes worst, we are ready to face and we can survive in that situation. It is hard to prepare, but that is the only thing we must do if we do not want it to be difficult. Inflation can happen now, tomorrow, or even next year and with some preparation, I am sure that we will pass that moment and live without having a problem.

If we have a crypto investment, that can help us reduce the expenses that we might get in the future as we can convert our crypto to fiat and solve the problem.

I certainly hope the inflation in UK and in other countries is a transitory effect mostly due to the price of energy and particularly of the price of gas. The current situation in the UK show lack of planning or plain disarray in supply chains and retail transportation and that is not going to help. Seems like brexiting was not such a great idea, but COVID provided the perfect excuse for all this.

While I also think that bitcoin can be the best ally of the middle class against the crisis that is coming since historically it is the middle class the one that losses the most out of the economic crises that we suffer from time to time, at this point I will be happy if they took any action to protect themselves, if they do not like bitcoin for whatever reason then they should invest in gold and silver which will also do great during those times, but for some reason a great deal of the population is unaware of what is coming.

In the US, stocks have generally done well even in an inflationary environment.  There are some sectors that do better than others.  Banks and energy are two sectors that perform better during inflationary periods than others.  But a hyperinflationary period may bring different results, as the US has never had such a period the effects on the stock market are unprecedented and impossible to know.

This is not so simple. 3.2% might be a lot for fiat, but it's completely negligible in comparison with Bitcoin. It can easily lose or gain more within a course of a day, which makes it way riskier than fiat. You might win from it, but the volatility can also be very stressful, and long periods of the bearish market aren't unheard of. With fiat, you know you're losing, but you also aren't losing that much (unless we're talking about weak collapsing fiat currencies, but the GBP is not one of them). With Bitcoin, you're taking a big risk that might leave you better off, but can also be devastating short-term.

There is even more from the supply chain point of view. Governor Andrew from UK stated that it was the supply chain shock which added more baffling economic outbreak when the pandemic was on its peak level. They even calculated the pre-pandemic inflation and all the bank stated that the inflation could reach as high as 4%. So one thing is clear that UK was prepared for this outbreak but they did not think it would be as early as this one. It also worth noting that UK inflation dropped to 2.1% after they started the inflation with 2.4% and upwards.

To overcome this financial stress banks are planning on high interest rates and debt recoveries. This is obviously worst decision for the public but thats gonna be worst recovery ever; statement by Jeremey Warner in Sunday Telegraph.
Good article to read: Inflation, shortages and the end of furlough: ‘hard yards’ ahead for the UK economy (https://www.theweek.co.uk/business/banking/954311/inflation-shortages-and-the-end-of-furlough-hard-yards-ahead-for-the-uk)

The government got an major excuse due to Covid to cover their mistakes and whole and solely hide them in the name of virus like shortages and disruption in economy.The food and chain supply lags the proper policy implementation due to which these inflation rises and who all are bearing it's cost? The tax payers mostly from the working and middle class but they have an option not the vision to adopt bitcoin.

There is one factor that needs to be considered while investing in stocks. A lot of talk is currently going on, to make capital gains tax equal to that of ordinary income tax. This may not have a big impact for the lower-middle class, but for the upper middle class the tax bill may move up (because their income tax slab may be higher). Add in the state-level taxes and the total returns after tax cut may be lower than the net inflation. I would rather prefer gold, as it can be kept for very-long term (10-20 years). So unless the government comes up with tax on unrealized capital gains, gold is going to have an advantage over the stocks.

Just because the inflation rate has increased doesn't mean that the UK will become a doomsday dystopia with hyperinflation.

An inflation rate of 2% per year is aimed for as it stimulates the economy by disincentivizing money from being idle in bank accounts without rapidly jacking up the price level beyond incomes like in the cases of Weimar Germany or Venezuela.

Deflation is not always good news as if price levels constantly fall, the economy wouldn't work anymore.

This is because as prices for goods and services fall, consumers are less likely to spend their currency now as they wait for prices to fall further. This fall in spending leads to a decline in money available for firms to survive. This leads to a rise in unemployment as workers are laid off, further depressing prices and resulting in a recession.

So you believe that in the future we wont be measuring goods against the dollar, there is no way we are going to a gold standard or a virtual currency which is highly volatile. Fiat currency living its last moments means that the country is going into hyper inflation and UK is not the only country suffering from inflation as there are many European countries suffering for the past two years and the price of goods are rising and it is a global phenomenon and i am not living in a dream world where i see every country accepting the gold standard or accepting any currency which is highly volatile.

Just some corrections:
1. Developed countries are the ones who print the most money.2
2. USA is developed country, not developing one.

Idk if it sounds curious for someone but Russia isn't developed country too and at the moment it's developing one, in transition.

Btw it's at some point funny how different North/West Europe / USA is from the rest of the world. There is a small inflation and boom, newspapers, etc are all fired. Have you guys seen post soviet countries? There is a huge inflation, in Georgia their national currency lost 2x value (If something was worth 2, in 8 years it become 4) and people in these countries don't even complain what's happening. Bonus, it's importer country. Inflation rises but wages are the same.

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Some people may blame me but if we want everyone to live a steady life, what about the implement the German taxation but with different levels? What about to tax rich people higher? You print tons of money, there are people who have tons of money too, enormous amounts that they can't use and will never be able to fully use. Isn't it manual inflation? Imagine, business is making profit and profit, the pocket of people is going empty and empty and we print money to fill their pockets and then say that there is an inflation, any logic here? Or am I very wrong?

Governments are going to resist this to the best of their abilities, after all they know the incredible power they get with their fiat currencies, personally I think that if we were to see a collapse of the fiat system while regular people will adopt hard currencies like bitcoin or gold the governments most likely will try to impose a world currency, which will obviously be fiat in nature, and only if bitcoin can beat that fiat it could have a potential of becoming legal tender on most countries around the world.

One of the best situations for energy sector is the fact that even in pandemic, even in a hyperinfliation, even in a world war type of situation, there will always be people who will need electricity and that is why energy sector will always make profit. Just last year Texas had a very long outage and electricity was hard to get, it was limited and that is why energy companies started to charge 1000 times more than what they normally do, just because it was difficult to get it and you would need that to survive

All those people who were too old and got cold, all the people who needed to keep their medicine in a cold storage like fridges, all those hospitals and so forth basically people who are in need required to pay insanely higher amounts and went into debt just to survive and not die. It is a horrible situation that shows how horrible capitalism could become, but it also means energy sector always makes a profit no matter what.

Yeah well... agree on the basics, capitalism creates a divide and that divide can get quite strong in countries such as the UK - besides the fact that the concept of "classes" and "station in life" are concepts that are historically well imbricated in the collective conscience of the Brits. Sometimes I think they just feel confused when they cannot put someone or something into a class or category so that they know how to deal with it. Short of animals classing others as food, threat or symbiont.

However, the energy industry does make losses from time to time. Like commodities, energy is quite cyclical in its nature and there are times in which gas, oil, carbon and other fuel producing companies go under due to excess offer.

Either it will be gold or bitcoin standard or there will be hyperinflation. Look how much USD the FED printed last year and this year. FIAT is coming to an end and it is not just the USD because when USD fails it will take down every other FIAT with it, and yes that includes GBP and EUR too.

Hard money is not coming back then you must be prepared for hyperinflation. Either way, the future is not bright.

Inflation happens in every country but the span of time of its increase rate is indeed alarming. Inflation is the nemesis of the lower and middle classes. Whenever the inflation rate rises, those people who belong beyond the poverty line and the middle class are the usual affected ones. The government must do ways to manage the inflation rate from increasing furthermore or else the working class will suffer. However, despite doing things to prevent inflation from happening, what the government tends to do is to address other concerns that aren't really that urgent and print excessive money to counter the inflation, as if it would help it. So people have no other choice but to rely upon themselves since the government can hardly do anything to solve inflation, hyperinflation, and shrinkflation.

As early as now, I hope people find bitcoin of great help to safeguard their funds from being devalued now that this kind of problem continuously arises. Storing your funds in lesser prone to inflation would be a power move. If you'll do it now, you'll thank yourself later in the future. Although of course, still do your own research and only invest what you can afford to lose because despite being lesser prone to inflation, we all know the 'weak spot' (depending on the situation. can either be good or bad) of bitcoin which is volatility. So, choose wisely where to store your funds to guarantee you will still get the best of it after a few years. Bitcoin isn't the only platform, you can check others as well such as stocks, real estate, etc. Do what you think suits you best.

Why you guys think Bitcoin went up by 20% in the last few days? The governments around the world have gone on a Bitcoin printing spree, and a lot of people are now concerned about the inflation that may result from it. Surprisingly gold has remained more or less stable during the last two years. New deposits are being developed around the world and investors think that there will be a stable equilibrium between the supply and demand as far as gold is concerned. That is not the case with Bitcoin, and therefore the prices are moving northward.

This makes me wonder how much else of the world is currently experiencing super high influxes of inflation.  Here in the United States we're around the 4-5% mark, which is up big time from the past decade which has seen inflation at under a % each year.  Some project this to last for years ..scary times ahead in that sense.

Here in our country as well, but I believe Venezuela is really suffering from hyperinflation, which has rendered their currency worthless. I heard they're using crypto as a payment method to combat hyperinflation, but I'm not sure what they're doing. Almost every third-world country is suffering, including ours, where the price of all foods has doubled, gas is also extremely expensive, and the unemployment rate is extremely high. Despite opening our economy by 50%, we are still unable to cope with our losses.

I suppose this is pretty much a global tendency and the reason for it is if the United States is printing money like crazy and some other country decides to not do this then this means the products coming from the US have a competitive advantage because now they are relatively cheaper, while for the country which is not printing money in the same manner they will realize now their products have a competitive disadvantage because now their currency is getting stronger and people of the US will prefer to buy products coming from other countries, so if they wish to maintain the level of goods they are exporting to the US and other countries they have no option but to print their currency at the same rate.

The issue is that even if inflation is still within manageable levels we need to wonder how long is this going to be the case? The pandemic accelerated the natural decline of the economy, however things can take a turn for the worse really quickly and when that happens you do not want to be holding huge amounts of fiat, you want to be already invested in something solid and without a doubt bitcoin is one of the best hedges that we can use to protect ourselves against this.

It's actually good you point out things when it's getting bad than wait a die minute when things become so hard to control and out of hand, everyone contribution may not stop the inflation but surely we all learn from every one experiences with different years in increased in price of goods and how to handle them without government help.

Inflation is indeed a cancer to fiat and monetary policy.

LOL.. what sort of logic is this? When the cost of living goes up and the salary remains constant, then we definitely need to think about it, right? To some extent you can be prepared against it, by investing in assets that are protected against inflation (such as gold, platinum and Bitcoin). But what you will do when the salary doesn't increase? The net amount that can be saved every month will decrease. And also, you may need to cut down on your expenses and chose the more affordable options.

And that is the best case scenario, when this happen then governments have the brilliant idea of raising the salaries of everyone and now companies have to pay more for the same labor and many small companies cannot do this so they begin to fire employees and ask more of the ones that are left, also they may try price controls that as we know the only thing they do is to create black markets making the economic situation even worse than what it was before they began applying those measures.