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We all know that Inflation in the US economy is at an alarming rate. Not the only USA, but Inflation is also a big problem for many countries globally, and it seems there is no way to stop it. Is it impossible to stop inflation in fiat currency or govt don't want to take any action it stop it? Do you think people can do anything to stop inflation in their economy or its inevitable?

Inflation is going to increase the prices of goods and services but at the end for people to be able to afford all of that they must have better jobs and more salary as well which is not a direct result of inflation. Generally the salary takes a while and therefore at the end of the day they would have to use the same salary for much higher rates causing poverty and other problems as well. Especially when you are talking about the US their healthcare costs are sky rocketing and there is nothing that one can do about it. Therefore people won't be able to afford anything for the time being and then is the problem of people being treated improperly at their jobs causing them to resign .

There is no way to stop inflation. It can be managed to a certain extent only! Based on the size of economies, 2% - 4% inflation is expected  but when goes beyond that limit, that becomes a problem.

The only widely known method to manage inflation is to increase the interest rate. This way, the excess money can be sucked out of economy so that people b3come cautious and don't spend more. The affects the demand and thus the production. However, if the government has take debt from their countrymen through various bonds and savings certificates, increasing interest rate can bring more concern.

Inflation applies to all countries which is indeed the only threat that will destroy their economy. Not only that. Unresolved inflation will gradually undermine all sectors, not only the economy, but will also cause a social crisis among the people that cannot be controlled. Demands for the country's leaders will stick out and become a very big demonstration. Defined as a form of government failure in managing the economy. It could even lead to a coup carried out by the people to overthrow the government.

Governments make money from inflation. Inflation is good for governments.
They print money, use it, and only then (after their spending) inflation occurs. So we lose money after the government spend it.

It is somehow a different form of tax.


It can do, but it is not popular.

Government like to raise salaries, spend money to make economy grow.

When government build roads, hospitals, etc jobs are generated, many people make money, etc, and inflation helps gonverment make these things happen.

Individuals can protect themselves buying gold, bitcoin, stocks..

Inflation is bad for low income earners and the artisan because they hardly have enough to feed, the little to feed with is being inflated leaving them on hardship. The government don't really have anything to lose as they benefit from budget and project from bribes that they don't depend on salary they get. It is really hard times in the world and majority of the people are on the poverty line. What makes the situation worse is that unemployment is rising daily.

Government always does what they can do to reduce the inflation all the time. Thing is they always have to clear many things around the circle of national scope. We can not really blame they as to why are they not working on it; actually they are working but they have to face big deals of nation and its emergencies. Since they dont have single thing to do they would be exploring many many ways.

Inflation surely can be stopped but it takes outstanding planning. The root cause of the inflation needs to be identified first and then major steps start to pull off. For example, in the current situation USA failed in pandemic. The health care systems and strict rules of COVID protection made the situation worst throughout the nation. This led to poor employment circle, reduced job quality and thus money flow stopped.

Heavy stimulus packages were distributed on various instances and this made the central banks to print more money. So free money was getting paid out and thus inflation started coming out.

US need, big fix on businesses, employment and health care systems. Unless and until they do not come online, its gonna be another bad day for them.

Probably you are from US and recent inflationary is the reason your created this thread, but know that US is far better than many other countries, you can use this classification to know the extent of inflation in a country.

Developed countries, less inflation
Developing countries and, more inflation
Underdeveloped countries, most inflation

US is still part of most developed countries, even US is still the number 1. Covid-19 affected all countries, while the money printing might contribute to this.

Yes, it is very possible, but the economy will be worse if the local currency is not devalued. The government regulate local currency price to prevent their foreign reserves. For example, if a country is more depending on export, the government will reduce the purchasing power of their local currency just to reduce the depletion of foreign reserves. So, inflation is also necessary and if not imposed by the government at the appropriate time, it can make the economy worse.

Not possible, that is what fiat is for, this is the important aspect of fiat why government rely on it, for control and inflation purpose.

How about this also, for example, like a country that almost soly rely on crude oil like Nigeria, if the federal government want to be able to pay workers salary, they will sell crude oil, have the amount, devalue their local currency so they will be able to pay workers whereas, the purchasing power has also reduced, just an example. The government will have the money already but devalue it before paying workers.

As long as this covid 19 crisis will never stop, expect that the high rate of unemployment will continue to increase, leaving most of the people experience the state of poverty. But i don't think the government is not aware of it, and they are just not doing something to control it. The government will always consider the welfare of the people, but this inflation is starting to be in a state of out of control. And if its stays in that state for long, hyperinflation will occur as it will create continuous price surging for basic commodities. This is the reason why some countries think to shift into bitcoin knowing fiat is already highly inflated.

Inflation is similar to the Great Depression. Incidence of similar events are separated by a vast enough timeframe. That by the time conditions ripen for a period of high inflation or depression to occur. People have forgotten details of the previous crisis.

There is a trend in society, where many appear to believe they're better off not knowing details or basic mechanics of inflation. Which makes them powerless to do anything to address it. Power is knowledge and both are usually insufficient to countering trends like inflation.

Steps people can take towards reducing probability of inflation include basic steps like reducing reliance on government and making greater effort to be informed and aware. To fix inflation, we must first comprehend inflation. Everyone wants inflation to end. Yet few will become informed enough to support the right policies to address inflation.

With the rising inflation that most of the countries are experiencing today, i see the chance to control this is very slim. And unfortunately, this will make the poor people become poorer seeing the prices continue to surge particularly for basic goods which means their money will be less valuable so it will reduce too the value of a currency's purchasing power. So making investments this time more particularly like bitcoin will protect us from inflation. Although this may not be the best option but it can be a great help not to put ourselves suffering from the peak of poverty.

Individuals can protect themselves from inflation by buying some investments such as bitcoin and gold, and other such assets that are somewhat protected to it. We, as individuals, cannot stop inflation, and the governments are the ones who can change it. Then again, they most probably wouldn't do it as they can lose profit by not printing more money. It's a double-edged sword that, if left unchecked, is very dangerous to a country's economy, as we can see in Venezuela right now.

Very important question that I haven't seen anyone able to answer it so far. This should be being discussed at television news' channels, political campaigns and on the daily life.

We need more knowledge and informations to find an useful solution for inflation. But personally, I think if governments stopped printing money and raising public employees' wages and also minimum national wages, inflation should increase slower, at least.

It can't be avoided but it can be delayed. I've seen that Japan did delayed the inflation.

Yes it's inevitable and given that there's already the inflation. As someone who's going to be hit by it badly, we need to do something like hedging against it through our investments. Making more source of income to cope up with the continuous price increase of almost everything. That's what we can do to at least deal with it.

Inflation is always and everywhere a monetary phenomenon. — Milton Friedman, 1963

The Federal Reserve created USD inflation, and it can end it.

In 1979, the USD inflation rate was about 9%. In October, Federal Reserve Chairman Paul Volcker announced plans to end inflation by taking actions that caused interest rates to rise to extremely high levels. The inflation rate peaked at about 11% shortly after, but then dropped to 6% in 2 years and 4% after 3 years. It continued to drop to the relatively low levels we have been seeing for the last few decades.

Another effect of the rise in interest rates was a short but severe recession. The economic pain caused a huge political backlash, and it was probably why President Jimmy Carter was not re-elected (even though he should receive some of the credit for the decades of economic expansion that followed).

Now we are facing the same situation. It remains to be seen if Biden will risk a second term to combat inflation, and if Powell has the balls to end inflation like Volcker did.

Note: if inflation were measured now as it was in 1979, it would be far higher than 9%.

Also note: This recession is the source of the term "Generation X" because the generation becoming adults at the time were expected to never recover economically.

It's not that it's impossible, it's that they don't, and for good reasons. Completely stopping inflation would hurt the economy, and a balance must be maintained for it to actually benefit the economy. Now, what damages the current state right now is that inflation is rising at high levels. Levels that are not beneficial for the economy of the country. It's to the point that people are losing their purchasing power when they aren't even doing anything with it.

Rather than stopping inflation, a more apt term would probably be controlling it?

In my opinion, stopping inflation is very impossible that can be done just to pressure it not too high, actually inflation can also be used as an economic indicator, for example prices rise because the high demand, a lot of demand this happens because the economy of society is increasing but the production of goods has not been able to meet the demand so that prices become rising, as long as there is no hyperinflation all good, all countries will definitely experience it and will not be able to make it into zero inflation.

Government can eliminate or stop inflation from the country because they has the power to control everything in the country include fiat money and economy. Inflation is not inevitable to government or people because the government has what it takes to remove high rate of inflation down to low rate of deflation in the country, so that every citizens will feel the impact of deflation in the community

Government can legalized bitcoin in every part of the country to stop inflation by creating decentralized institution for people to learn more about decentralized currency in the country. Government can make it possible for every citizens to be educated about bitcoin and how to use it to create more opportunities that will reduce inflation totally from the country.

Inflation can be stopped if the government can stop printing fiat out of thin air, the more they print the more circulation will be and it make fiat more worthless. As long as it's scarce and high demand, obviously it wouldn't got inflated. We as people has no way to stop inflation, we only can hope government to stop printing money over and over.

If the stuff's price is still fixed using USD/fiat currency and not in satoshi, I believe it wouldn't stop inflation as the price aren't mainly from Bitcoin but their fiat. I don't think there's a country will only accept Bitcoin as their main legal tender, they'll only accept as alternative.

Inflation is a big problem! It destroyed few countries in the past and will destroy more in the future. When inflation goes out of control, the price of the goods sky rockets. The general living cost increases, but the purchasing power of the people stays the same or goes down. Hence people can't afford anything while their currency becomes worthless.It is possible to stop inflation and reverse it. It is called deflation. And the government does try to take different monetary and fiscal policies to stop it.

Inflation is not really a big problem, inflation beyond target is. And it is not that there is no way to stop it, because economies desire it in the first place. So it is not a question of whether it is impossible to stop inflation or not as there is actually no attempt to stop it. In the current economic system, inflation is indeed an integral part. Inflation incentivizes a lot of things. Wages increase, loan value decreases, consumption increases, and so on. So prices of goods and services have to increase, albeit moderately.

...inflation occurs because the government circulates scam currency to their citizens

...if they rely on bitcoin then inflation will run away

...the concept of a happy life is simple, exchange your country's currency for Bitcoin 8)

So all those media talking about the Inflation problem is total nonsense? I know Inflation is good in certain conditions like when we have a lot of unused resources and labor force then inflation can boost production. But too much inflation will slow down the economy because interest is high and peoples are more focused on savings, not spending. Less spending = fewer demands, fewer demands = less production, less production = less labor which causes the unemployment problem.

I do not think it's impossible to stop but we don't need to stop it on the other hand we don't need unnecessary inflation either.

You need to know what is inflation to stop the inflation, and if you do then you won't be actually asking such questions.

People can't do anything about inflation and deflation its in the hands of the respective Central banks which comes under every country because they're the one who is printing money and deciding how much money printed every year, if you want the inflation rate to be zero the only possible solution is government should stop minting new money.

Inflation cannot be stopped unless the money supply is limited. Since governments are all the time printing money, this will devalue the currency and is the major factor for inflation.
In order put the inflation on halt, either the government strictly do not allow printing of currency notes (which they will hardly stop) or start using a inflation free currency like bitcoin (which is also very unlikely).

US inflation and they think they are in the brink of destruction. No. That's just exaggerating things.
There are more countries with bigger problems than them. High inflation rates in third world countries and they won't stop printing more money or borrowing. Government will keep on doing this until everything goes well, or they think it is enough.
If it could provide more jobs for the people then it will equal the expensive rates in daily basis but people cannot manage to save. Inflation cannot be solved short-term, there must be a plan, it's not always that bad.

If the Fed stopped printing money then economical growth will be stopped or we can say it will not be visible. We need to understand why they print more money every month. Govt print more money to increase the demand for products and services. More demands mean more work for the people which will reduce the unemployment rate. People will have money in their pocket so they will spend more money which will give govt more taxes and boost the economy.

But printing more money to pay the debt is a very bad idea which most of the govt does and that is the reason Inflation destroying the economy not boosting it.

What is missing from the first paragraph of your argument, is that every time you repeat the word "money" it is an increasingly devalued thing. Governments have been in a forward flight since 1971, with a ball that keeps getting bigger and bigger, and an economy built on ever increasing debt that keeps growing.

They are now in a catch-22 situation: the economy is a junkie that needs the injection of central banks, but this injection causes inflation, which is getting higher and higher, which makes people poorer and poorer, no matter how much people earn (except in some cases where the wage increase can beat inflation).

If they stop injecting: economic growth falls.
If they keep on printing: more and more inflation.

They have a hard time.

if the US prints money then there is no need to worry about inflation because the dollar is used for international trade but if other countries do it then inflation will definitely happen....so far, the US has printed money to pay its debts and circulated it to the public, but the dollar exchange rate against other countries' currencies remains strong. other countries find it difficult to follow the US' steps, so admitting bitcoin as a legal tender is the best thing El Salvador has done to prevent their country from experiencing inflation.

Then what kind of economic conditions are the most ideal.  As explained in basic economics books, there have always been economic systems that have been fully regulated by the government, some have been regulated by the market to mixed ones.  They all have their advantages and disadvantages.  When we complain about the concept of inflation because it is fiat based, the other alternative is crypto, but crypto also cannot escape a financial industry bubble because no one controls it other than the market.  So what kind of economic system is ideal?

A competitive and free trade market is ideal for the economy because production will only be done compared to its demands. There will be no one to control the price and product price will be decided by the people. This is called a market economic system where govt has no infrastructure and control over the resource. That means price and regulation are conducted by the consumer. Some experts suggest that a combination of capitalist and social economy is an idea but there is no practical proof of this theory. You can read more about various economic concepts from this article (https://corporatefinanceinstitute.com/resources/knowledge/economics/economic-system/).

Inflation is mostly as a result of actions taken by the government, for example, the current high level of Inflation in the U.S. and around the world is as a result of many of the policies taken by the government do fight the covid-19 pandemic, lockdowns, printing of more money, etc, were all bound to cause serious Inflation and that's what's happening now and sadly it looks like it'll continue to rise. I don't believe there is no way to stop inflation, government can take counter measures to get things under control, of course that's if they want to, you never truly know what it is the government wants. But having said that, as a Bitcoin user, I use the coin as a hedge against inflation, and thus far it has worked perfectly for me.

because , Inflation has quite a number of impacts on a country's economy, including inflation that can erode people's purchasing power. If this condition decreases purchasing power, then people will be more economical to shop. In fact, one of the drivers of a country's economy is supported by public consumption. If people reduce spending, economic growth will automatically slow down or stagnate, it could even be lower.

Inflation also affects and harms consumers because salaries or income become stagnant, but expenses or expenditures swell due to rising prices for goods or services that are the main needs.

Wait
Do you mean the US printing money all the time means you don't have to worry about inflation? How come, isn't the more money printed, the higher the inflation they will face? see now what happened to the US from printing too much money during the pandemic? the financial crisis that hit and even inflation was almost unstoppable with a percentage that exceeded last year's.

That's not the concept, and it's not as arbitrary as printing money and circulating it in all directions without thinking about the aftermath. In fact, the United States is now being demanded to reduce circulation, which was indicated when in early January it withdrew all circulation of money in order to re-stabilize inflation so that it would not swell.

Technically, I can say the government don't want to take an action to stop inflation because they are advice not to print more fiat currency but they always choose to print more ridiculous fiat every year.
I believe they ought to have learn the solution of inflation through crypto currency but they always choose their own path and I believe that they print more money so they can steal from us.

High inflation often causes chaos in the economy of a country, sometimes countries affected by inflation actually get pressure from the prices of goods that continue to rise high, but it is not accompanied by income received by the community so that their economic stability is often disrupted, I think the country should be able to you can keep inflation as low as possible if you don't want chaos to occur in society, because in my opinion low and stable inflation is the main requirement for the country  economic growth as well as improving the welfare of the people of that country.

^ It is not that the government does not think or take action to curb inflation. The entire responsibility of a country is in the hands of the government such as, how the country will be developed, by which step the people of the country can be given a better life, etc etc.


Inflation hurts the country, the living standards of the people deteriorate, and poverty increases. No government wants his country to be underdeveloped slowly. Therefore, it is foolish to think that the government is not taking any steps to curb inflation on purpose. The government also has many limitations. He also has to maintain a lot.

Countries around the world, even the United States, are now plagued by inflation. Controlling inflation is not only the responsibility of the government. We can also try from our own position. Food storage can be very helpful in this case. If food is purchased before the price increases, it is stored properly. Then you will not have to suffer the pain of buying goods at higher prices.

Okay! I am a man with responsibilities then when reading your title, what bounces back in my head is other again the same question: is inflation a problem for countries? really!!...yes, indeed it is an item that must be controlled but in practice it is a big problem for ordinary citizens, mainly the poor, how do you plan expenses at the end of the month for basic purchases, such as You plan to save to buy a house or a car or any valuable asset if the inflation at the end of the year is such that you cannot buy anything or what you projected.

Inflation is always there, it never ceases to be, it is alive and kicking but it is always in a nervous balance, supported by so many aspects that it is chaos when the balance is lost.

In general, the inflation that affects is the accumulated one, not the monthly one, that is why it is terrifying to have $100 and know that the next month those $100 do not buy the same. That there in a little colloquial words, without economic jargon, and I understand it because we all generally suffer from it.

Solution:
it is a controversial issue its control, there is no solution inflation is never zero, it is like entropy itself it is a necessary chaos, although politicians say that adjusting or controlling prices helps, in reality it is a sum of so many things that "healthy" economies they adjust to certain "pre-established" values, so an inflation of 1 digit is allowed, like the Richter scale of tremors that, even if it shakes, the damage caused by gravity is determined by the value of that scale.

The irony of these "assumed" values is that in a country like the United States there are millions of people going hungry, even if that rate is 1 digit.

Inflation is the decline in the value of a currency over time. So while living on a steady income means your paycheck will buy less and less things as inflation continues.
and besides that those who are most negatively affected by inflation are those who survive on income from savings, because these savings will be eroded by inflation.
and those on low incomes and fixed incomes such as retirees due to inflation will have to spend a higher percentage of their income on basic needs, and also those who rent will suffer as they will face higher rent payments while at the same time house prices, prices land will rise.

Well of course --it is feasible to keep inflation under control, but if the local currency is depreciated, it will become more difficult to do so, making the economy worse. Inflation is controlled in a variety of ways some are effective, while others may have negative consequences. Controlling inflation through wage and price regulations, for example, can lead to job losses and a recession.
Stopping inflation, in my opinion, is a difficult task. Just simple as that.

I'm not saying inflation talks are a total nonsense. The media talking about inflation is not nonsense. But the game of inflation is not its presence or absence, because whether we like it or not, inflation has to stay. The discussion on inflation is not on inflation per se but on its level. It's not about wiping out or preserving inflation. It is simply about keeping inflation within tolerable levels. Too high inflation is as bad as too low inflation.


As I've said, if inflation is kept within target, it must be good rather than bad. However, if inflation is rising beyond the maximum tolerable level, it is definitely bad. If the government fails to tame it down, it must be worse.

Inflation is an increase in the supply of money circulation. In general,increase in price is a symptom of inflation.

Inflation is good if you're in debt or an investor but it is a big problem for people who had only enough income to provide their necessities. In other words, inflation makes rich people richer and poor people makes poorer.

Inflation is also bad for saving. If you kept your life on saving without making any action, you'de be wipeout in a day or two.Thats why you have to make a plan for the future.

Don’t  know about that, but inflation has destroyed a lot of economies around the world, take Venezuela as an example. So, I can’t really see how inflation would be regarded a good thing, although I do understand that there is always something good about everything that happens, but some things are way too bad that they cause more harm than good and inflation is one thing that I see as such.
 
In the country where I am living, things has gotten quite bad , lots of things in the market you can’t even afford to pay for them and it’s all because of inflation. You’d see products you used before, and now they will not only get costly, but the quality and the quantity will be reduced as well.

Is it possible for people to do something to stop inflation? Maybe with a collected effort of citizens in the country it might be possible to go about stopping inflation, but not as an individual, because you as an individual wouldn’t have what it takes to stop inflation in your country.

Even if it is something you would like to do, because it worries you, do you think that other citizens also have the same interest or that this problem of inflation bothers them as well? The answer is no.

Although it is normal that everyone would complain how the price of things are getting costly, but how many of them are doing to something about it? Then you talk about the government, who are the ones that has as much power that it takes to stop inflation, are they really doing anything about it? The answer is NO.

I believe that we had many years when the world economy did alright, between around 2011 to 2016 it was as stable as it gets as far as I can remember, also between 2001/2002 to 2008 crisis it was still relatively ok as well. These are things that I am making out of my mind right now, I do not clearly remember or even checked the data for it but it wasn't THIS bad for sure.

Between nations handling covid horribly and energy crisis and pandemic causing productions to halt and many other things, profits are not too low for major companies but people are not seeing most of it hence why the world is doing worse. All in all, inflation could be fine as long as it is under %2 but we have been over that for a while now.

There are really a lot of ways that a government can control or fight inflation. But putting an end to it may not be as easy as it is and that is why most of the countries today are still suffering from the inevitable inflation rate even though each country is also doing their best to control the inflation.  But there are ways really on how a government can reduce inflation. Here's the link: https://www.investopedia.com/ask/answers/111314/what-methods-can-government-use-control-inflation.asp

I'm now a broken record here. Inflation hasn't destroyed economies, too high inflation did. Although there are more or less a handful of countries across the world that have negative inflation, the rest have positive inflation. Even those countries that have negative inflation did not prefer it that way. They simply failed to hit their target inflation.

If inflation destroys an economy, each country today should have already crumbled. If inflation causes more harm than good, no country, instead of all, should have set a certain inflation level.

Without inflation, everything will fall. Deflation happens.

Depends on how much inflation we're talking about, let's keep in mind that 1-2% rise is deemed healthy for the economy. On the other hand, the opposite of inflation, deflation deemed as catastrophic. Certainly, inflation has skyrocketed the last few months, rising 4-5% in average if I'm not mistaken (for European countries at least, it's about 5% in Greece), leading to price increases in most if not all goods available.

On top of that, electricity and fuels aren't included in that index, thus, the financial burden on the consumer is way higher.

Have I seen a difference in prices the last few months? Definitely, supermarket costs more, while I'm starting to notice price changes day by day. Don't get me started on fuel, a liter of unleaded 95 costs €1,90, which is something I haven't seen before myself (it also happened back in 2012 if I remember correctly).

For example, if the salary for the job you take on increases 2%/year when inflation increases 5%/year.  Your standard of living and expenses go down.  It is an inflationary scenario that causes poverty… As a result the economy stagnates severely, Venezuela is a painful sight of “Inflation”

Inflation in simple term what we saved today becomes less valuable by tomorrow. This happens out of different reasons. Inflation can be easily understood when there is increase in the goods and services cost, particularly the basic needed things. The beneficiaries out of the inflation is the huge industries that charge additional amount for same products.

There won't be circulation of money. More currencies will be printed to make the situation normal. At some point there'll be increased production, and there won't be end consumers. Inflation can be kept under control by the governments economic development team, but majority fails in it.

First, we need to divide inflation into several types:
1. Negative
2. Zero
3. Moderate
4. High
5. Galloping
And accept one simple thought - inflation is a concomitant process of any monetary system!
Is inflation good or bad? The question seems to be simple, but very ambiguous. It seems that when there is no inflation, it is good, but then there are processes of "freezing" large sums of money in deposits. Is that bad. With moderate - yes, there is a process of "cheapening" money, but mechanisms appear that force this money to be used for its intended purpose until it has depreciated - to buy goods and services, to invest - this is useful for the economy.
High inflation, and even more so galloping, is very bad, such inflation really kills the economy and drives the population into poverty.

I guess everyone is affected by the inflation, even the government officials that are being highly paid. So i cannot attest to that the government is not doing an action, of course they are doing it but most of them did not succeed. And for some reasons, once there is already an inflation, it will be hard to stop that but it can somehow be reduced. Here are some methods on how to control inflation. Source: https://www.economicshelp.org/blog/2269/economics/ways-to-reduce-inflation/

Inflation isn't actually a problem, we just accept it to be a problem because wages growth doesn't coincide with inflation. Granted, it's unreasonable for wage growth to keep up with inflation if it's something like 5 percent; if the banks target inflation at 2 percent and actually manage to keep it there, there wouldn't be any talks about inflation because most people in a working economy can garner a 2 percent wage increase year over year.

Issue right now is most countries shut down their economies for COVID while increasing the money supply, so the economic growth was not able to keep up with disproportionate amount of money that was being spent. Wage growth might've gone up by 2-3 percent if you're lucky, but inflation could've been at 5 percent plus, meaning you have less purchasing power.

The rate of inflation is now alarming. Inflation is rising worldwide at such a rate that even countries like the United States are facing it.

Although inflation has not been such a big issue in some countries in recent years, but you can check the data of low per capita income countries. Inflation is nothing new there. Not everyone is suffering from the problem of inflation. Many are also taking advantage of it, so the profits of the major companies are not low. People are very stranger creatures, they do not think about the problems of the country or others. whatever the situation, they want to achieve their own interests.

Well said. Inflation may not be a big issue on regular people if there are also seen increased in the wages on the minimum earners. Even if this fast rising inflation continue to increase, as well as the wages of the people too, there will still be high purchasing power just like before inflation has started. But as most of the countries have failed to control inflation, so we should just accept the fact that saving more this time and investing into crypto may protect us from inflation, as crypto has always been showing deflation.

If the government keep increasing salaries and wages to meeting up with the level of inflation so that the people won't feel the negative impact of cost of living, things, products and services will keep rising and to a higher level where it will become hyperinflation and nothing will be of value, it is not good to keep increasing salaries and it is worthless to use it to purchase goods as the value will reduce.



You are right but printing of money is not the real course of inflation because they were used for buying things to distribute to people but the challenge why it push up inflation because capital project were abandoned and circulation of money increased.locked with people.

Unfortunately the inflation is more faster to come than salary increase since government is so slow regarding on handling this issue but for us to avoid any of this things maybe its best for us not to let our money sleep in the bank since for sure we will badly hit by inflation since as you said the purchasing power will not be the same when we first deposit our money their so best we should put our funds on something that can generate us money since this could save us from inflation.

As Venezuelan, I have seen how inflation can literally destroy people's lifes.
Thankfully is slowing-down lately.

I believe one of the things necessary for inflation control is a serious and pragmatic macro-economical plan carried by one's country central bank which is independent of the extreme political ideals of the ruling party. One of the biggest mistakes commited here was giving more valuble to economic theory than long-proved economical actions which work, just for the sake of whatever the president and the party wished to implement.

The well-being of people must be above social/economical experiments, specially if one's trying to face such a serious problem as inflation.

Venezuelans have known well about inflation, being a Venezuelan what is said above is the truth. Compared to the previous years Venezuelans seems to recover slowly through the adoption of cryptocurrencies, making use of play to earn tokens and exploring all available possibilities on cryptocurrency. I read about people in Venezuela having cryptocurrency as a common means, even the technology wise lacking people have begun to make use of it through Binance pay and other similar payment gateways. Being the 7th largest population for cryptocurrency adoption the growth will happen soon out of cryptocurrency. The inflation is mostly out of the ruling government who doesn't care for its people rather a specific group.

Crypto and foreign FIAT.

It is curious you put it this way, because the other day I found a clothing store which now accepts Bitcoin, Thether, Binance pay and more suprisingly: Monero.

Crypto currency is a blessing when comes to helping people like us, to recover some control over our money in an authoritarian and reckless administration.

Since the first, inflation is the enemy of a country's economy. When inflation occurs, money becomes worthless. however, as far as I know, the way to deal with this, or slow down inflation, is to increase tax rates, increase the quantity of goods in the market, set ceiling prices, save on government spending, and so on. however, this can be minimized. very many countries have been hit by inflation, and it is still running today. they solve their problems with several strategies. however, until now, there are still some countries that are still struggling to escape inflation.

It is very much possible for the government to control inflation, but I just don’t get why they don’t do it. Although trying to stop inflation it can also have its own consequences, but I still believe that if the government should go about it the right way then they would be able to pull it off properly.

The thing is, do our leaders really care about us that much? Because this is not the first time that we are seeing inflation, it has been happening for a very long time, and as a matter of fact, lots of economists keep predicting that such will happen, but it seems like the government would go ahead to ignore all the warnings that’s not been laid out.

and the country with the highest inflation is Venezuela which ends 2021 with inflation of 686.4% and this is the longest hyperinflation. Venezuela's hyperinflation just happened, even though the central government did not take any action to stop the extreme inflation. they just stop the cause without doing a full solution to avoid higher inflation.
Even though Venezuela is currently out of hyperinflation, it is still the country with the highest inflation rate.

The governments don't really want to stop inflation,because:
1.Inflation leads to debt devaluation(including government debts).
2.Inflation boosts the tax revenue.AFAIK,this is called "inflation tax".
Bigger revenue from VAT taxes and income taxes is what every government in the world wants.

The governments/central banks want to put inflation under control,by lowering it to levels below 5% per year.
It has been stated by many economists that low inflation can be actually good for the economy.
High inflation is a big problem,because it increases the poverty among the working class people and it disrupts the business cycle,making it hard to many business owners to plan their investments in the long term.
 

A lot of them are seriously trying as much as possible to escape inflation, and it has been a big problem which has put them in a really bad situation as of today. If you check some of these countries around the world you see that they are suffering seriously from inflation and you would see how the prices of things has gone up and how people has gotten really poor, and the value of their currency it’s nothing good at all, as a result of the economy is down.

 I believe that the government of these countries has many options that they can use in fighting inflation. they can decide to make use of Wage and price control in beating inflation, although that may lead to recession and loss of jobs. But there are still other options, it is up to them to sit down and plan it the right way and make their decision on how to go about fighting this problem of inflation in their country, in a way that it wouldn’t affect them so bad.

Quick increase in inflation rate yearly is alarming because it just means that the prices of the goods and services will also increase. Inflation itself isn't really a bad thing like what some perceive it to be. It just becomes a negative thing when it is fastly increasing and it is not proportional to the country's ability to increase the salary wage the same pace. Higher inflation rate as the time goes by just simply means that the commodities and other materials as well as the services offered will be increasing their price and value due to the demand. If inflation would constantly increase, people most particularly those who resides in the lower bracket of the community will suffer the most. They would be the ones who will be very affected because most of them are just living paycheck to paycheck and barely makes the ends meet.

If the goods sold and services offered will be higher than it originally was, they would have a hard time adjusting and adapting to the changes. If before they are already having a hard time, they would have a harder one this time in thinking where to get the money to sustain their needs to get by on a daily basis. Hence, the government must do something about it or else the citizens will suffer. The cost of living and the price values of goods and services should be balance and proportional.

Inflation can devalue any debt including personals? Really? Idk but this sounds good to me, this means it is the best time to take a loan during the inflation period because people can pay lesser but loans in times of inflation are unavoidable because its a tough time for everyone. Prices are getting high and people only have a limited money to afford it.

If inflation makes it hard for someone to plan long term then why not plan early or plan before inflation occurs? In that way they can combat the effects of it and they can survive until the inflation rate gets lowered or totally subsided. Inflation is a big problem but only for those live's who have no direction.

It is true, inflation makes people pay their loans back easier, it makes earning money harder because there is usually a higher unemployment rate but if your job is stable and you are earning accordingly, then you will make more. So, let's assume that you make 10k per month, you live the USA and you just had around 7% or so inflation right?

You tell your boss you want a bigger raise than inflation and get 10% raise for this year, not really possible since bosses would want to pay even less, but assuming you are a vital employee (which you could be with 10k per month) you manage to get it. Now you are making 11k per year.

Assuming you got mortgage payment of 5k per month, you used to have 5k left after you paid it, now you have 6k left to pay it. Next year, same thing happens, now 10% would mean 1.1k more, so you make 12.1k dollars instead, and you still pay 5k, left with 7.1k instead. Year after that same thing and you get 13.31k per month, and still pay 5k. You can calculate it for 10 years.

By the end, you the debt would be nothing to you and you would be making a lot more and you would pay your mortgage very easily. Now imagine living in a nation with 20%+ inflation, your debt would be nothing in a few years.

Inflation occurs due to many factors, one of which is because the amount of money in circulation is too much so that its value is not valuable for scarce necessities.  This condition is not good for people to borrow money from banks, because with inflation conditions, the central bank will definitely take a policy of raising interest rates so that people save more of their money again.  This condition will make it difficult for people to get loans with low interest, this is my understanding.