Inflation is a creeping beast

[Dunamisx]

If inflation is serving as a creeping beast to looming every economic progress then it's time we realized the need to create a resistive monster to tackle against it, we have different approaches we can adopt in the economy to achieve this, one can engage on sourcing for an alternative business or venture, investment on digital asset like bitcoin, adopt Dollar Cost Averaging (DCA) techniques, set a realistic budget with adequate planning, avoid unnecessary spendings, cut cost and always buy the dip.

[Findingnemo]

Every now and then we get new monetary policies and as money supply keeps growing too rapidly inflation sets in which inturn reduces the purchasing power of our various fiat currencies. This inflation don't just happen spontaneously it starts with a comfortable price hike everyone can cope up with and continually increase until it becomes noticeable.

It comes in stages the first face might only affect the poor and small scale entrepreneurs, the second phase might be a matter of concern for medium  scale entrepreneurs ,the third stage is when the large scale investors gets affected too and the final stage is when the producers start feeling the impact on the cost of raw material and reduction in production quality and patronage. Before this time there have been slight change in material cost but it might not be too obvious to stair national concern.

The world at this point needs a decentralised currency that can be monitored through a public ledger  that way excessive money printing will be curtailed and going by how challenging keeping up with the rapid inflation has become there is every tendency of having worst GDPs in coming years because if manufacturers and Producers fails to meet up the hight cost of production then they will in due cause turn to low standard products just to keep the demands and stay in production

I agree that we need the decentralized monetary system to escape from the trap of inflation but why we are still waiting for the government approvals if its the real solution?

There are some people who make money even while the inflation increase and government doesn't get affected as such people that is why they simply approach the inflation rate increase as nothing serious but to the one who is earning money by giving effort know the real pain behind it.

[South Park]

If inflation is serving as a creeping beast to looming every economic progress then it's time we realized the need to create a resistive monster to tackle against it, we have different approaches we can adopt in the economy to achieve this, one can engage on sourcing for an alternative business or venture, investment on digital asset like bitcoin, adopt Dollar Cost Averaging (DCA) techniques, set a realistic budget with adequate planning, avoid unnecessary spendings, cut cost and always buy the dip.

Since the governments are not going to listen to their population then each person needs to take care of their finances to the best of their ability, however the average person does not want to do any of that, they just want to work, get paid and then spend their money without thinking about the long term implications of their actions and the actions of the governments, this is the reason why when a crisis strikes they are so unprepared and they are surprised by the turn of events, even if they had months or even years to prepare for the upcoming crisis.

[justdimin]

If inflation is serving as a creeping beast to looming every economic progress then it's time we realized the need to create a resistive monster to tackle against it, we have different approaches we can adopt in the economy to achieve this, one can engage on sourcing for an alternative business or venture, investment on digital asset like bitcoin, adopt Dollar Cost Averaging (DCA) techniques, set a realistic budget with adequate planning, avoid unnecessary spendings, cut cost and always buy the dip.

Spend less is a key factor that is a very tricky subject here. If you are living in an inflationary environment then you are going to have a hard time spending less, and if you do not buy the thing you want to buy right now, tomorrow it will be more expensive. I suggest considering debt as an asset and not a liability. I would suggest if there is inflation, then prices will go up, so if you make debt to buy something that you can resell later on, that would be a lot better in the long run.

It's not easy to buy things that you could resell higher because even if there is inflation, the thing you bought will turn from brand new from the store into a second hand, so buying second hand is better, that way it stays second hand and will go up in price even when you are using credit card or loan to buy it, you will resell for higher than what you paid for.

[Dunamisx]

If inflation is serving as a creeping beast to looming every economic progress then it's time we realized the need to create a resistive monster to tackle against it, we have different approaches we can adopt in the economy to achieve this, one can engage on sourcing for an alternative business or venture, investment on digital asset like bitcoin, adopt Dollar Cost Averaging (DCA) techniques, set a realistic budget with adequate planning, avoid unnecessary spendings, cut cost and always buy the dip.

Spend less is a key factor that is a very tricky subject here. If you are living in an inflationary environment then you are going to have a hard time spending less

I so much have this pity on the developing countries that have althrough this while been suffering from inflation o er times, i think about how they maneuver to make a living through their earnings because what is coming in for them is not sufficient enough to maintain an average man living standard, that's why you could see an ever increasing poverty rate and diseases because of lack of employment and good access to food and good water for drinking.

and if you do not buy the thing you want to buy right now, tomorrow it will be more expensive

There's no doubt about this reality and it's quite killing the interest of the people in predicting the market value because everyone tends to lie and manipulate up his market just to realize more profits thereby affecting others

I suggest considering debt as an asset and not a liability

I still can't understand how debt could serve the purpose of an asset and not liability

[Frankolala]

 Bitcoin can not save inflation, the major causes of inflations are first when there is shortage of supply i.e what is being produced can not reach up to its demand,such as food, gas.
 Secondly, the war between Russia and Ukraine has added to inflation and lastly the pandemic all these took inflation to its peak,if not inflation is a natural thing as long as the world is concerned.

[landheer]

now news of inflation is everywhere, and prices of electronic goods, food prices and so on are UP. but what makes people dizzy is that there is no increase in BHL salaries, and I think this is what makes people confused, but what else should be done, because now almost all countries are experiencing it, but in my opinion to
increase your income so you don't get too down with inflation now, I think it's better to invest in bitcoin which can be a long-term and short-term investment, but of course you have to know about bitcoin and crypto trading. I think investing in bitcoin is a good solution to fight inflation.

[Dunamisx]

now news of inflation is everywhere, and prices of electronic goods, food prices and so on are UP

The fear in this is the imbalances from the price irregularities, if it goes up it does not comes down, every item on the market never remained the same as it was before now, the inputs is little compared to the output given, which means affordability of a normal standard of living for an individual household member is fast increasing beyond measure and it's alarming over the influence of what inflation has caused.

but what makes people dizzy is that there is no increase in BHL salaries, and I think this is what makes people confused

This also is another imbalances we are talking about, working like a jackass earnings peanut, thee economy isn't balance by those in government saddled with the planning, salaries are not to right on because this time, the government also cry for insufficient funds.

[rby]

With inflation and global recession as the main issues lately, I really feel, Bitcoin will get its role where adopting bitcoin will be a good step in putting the currency on the right track as this currency is already gaining traction in the global market, BTC it can also be used as a cashless transaction with no limit on how much it can handle unlike other forms of banknotes. I think it's only a matter of time before it will definitely be used as a major currency.

If you think Bitcoin will become the main currency globally, it will probably take a very long time because until now there are still very many countries that do not see Bitcoin as an important currency and not everyone in this world is a Bitcoin user. So it still requires additional users in all countries so that each country can see Bitcoin as an important asset even though the currency of each country cannot be thrown away because it is still needed in life.

Bitcoin cannot be main global currency, bitcoin will always be there as an alternative, as a liberty option and not to become the global reserve currency. Apart from the global adoption which will take a very long time to actualize, bitcoin is actually fixed in supply which will make the price to be so so high before it will attain global adoption. By then it will be like digital gold and no longer a currency.

Back to Topic:

Inflation at the start stage affects the poor whose small purchasing power is depreciated. But on a long run, even the rich suffers because of inflation.

[Silberman]

I still can't understand how debt could serve the purpose of an asset and not liability

that is correct -we all are victim of inflation - but there is no use to talking about it all the time because it will not be helpful
As far as commenting is concern - yes it can help us earn some $$ - but the real thing is to earn so much money that you forget that the things are expensive

This is a simple solution but at the same time it is the most difficult of all to actually implement, and it is not difficult to see why this is the case, when we are going through a period of inflation everyone begins to suffer because of it so it is natural that people begin to think about earning more money, but what happens when every single person is trying to do the same at the same time? It becomes way more difficult to actually achieve your goals and as such unless you were earning a lot of money already this is something very difficult to achieve.

[panganib999]

Inflation victimizes the poor and the underclasses while making the rich richer paper-wise. The ever-increasing prices of commodities makes it so that the poor will spend more money than they have to, while the rich could continuously earn more money than they know what to do with. Sure the increasing prices of some items and services may hurt them a little but at the very least the elites wouldn't have to worry about how to find food and money for the next days like we do. So you are correct, and the fact that the value of money is steadily decreasing the more it's used isn't helping either, there will come a time when we'd have to rake in bags of dollars for measly purchases, which is why digital purchase is a thing.

[Abiky]

You have made a very insightful opinion on a complex issue.

But a decentralized currency won't solve the issue which caused the excessive printing.
The feds don't like printing money either, even they don't want to do it. But there was no other way. A new currency, however it works, won't change the fundamentals of demand & supply. A decentralized currency may even be worse in such scenarios. Since there won't be any way to control the money supply(or a central authority to do so), the problem will be much bigger than what we have right now.

And inflation isn't always bad. It's a part of growth.  It is a natural occurrence that happens when an economy is growing.

If the world ditches the Fiat standard over the Bitcoin standard, then it may be possible that decentralized cryptocurrencies will solve all of our problems. As it's said in the real world, "fix the money, fix the world". But governments won't allow crypto to take over, because they will lose control over people's lives. Central banks will continue to keep Fiat afloat by any means necessary. While inflation cannot be avoided, it can be controlled to a point where it doesn't do too much harm over the mainstream economy.

It's normal for Fiat to experience some inflation since it was designed to be spent as a currency (not hoarded as a scarce asset/commodity like Gold or Bitcoin). Without inflation, Fiat currencies will become so strong that it would be too expensive to use them for daily payments. Inflation becomes much of a problem when too much money is being printed on an annual basis. With high inflation rates, prices for food, gas, energy, and other commodities will rise like there's no tomorrow. This will make poor people even poorer than before, especially when wages remain relatively static. Unless COVID-19 and the Russia-Ukraine war ends, don't expect to see any signs of improvement over inflation anytime soon. Just my opinion

[livingfree]

Inflation victimizes the poor and the underclasses while making the rich richer paper-wise. The ever-increasing prices of commodities makes it so that the poor will spend more money than they have to, while the rich could continuously earn more money than they know what to do with. Sure the increasing prices of some items and services may hurt them a little but at the very least the elites wouldn't have to worry about how to find food and money for the next days like we do. So you are correct, and the fact that the value of money is steadily decreasing the more it's used isn't helping either, there will come a time when we'd have to rake in bags of dollars for measly purchases, which is why digital purchase is a thing.

That's the reality for the inflation. Aside from the underclasses and the poor, those that don't care about their finances and don't have knowledge about the inflation will also be dealing with it hardly.

The rich folks understands how the inflation goes and that's why they're the ones that easily adjusting on it and they can deal with it easily. While them making a lot every inflation happens, the poor gets poorer because their spending capacity is getting lower.

It's time for them to start thinking that they should get more source of income but the very foundation of it is to know the basic understanding about it and be aware.

[Fara Chan]

Unfortunately, not that many people understand the current concept of the situation and that means we are going to end up with people thinking inflation could be solved with crypto and will fail to make money.

Still in the 50+1 category, inflation cannot be linked to crypto, the concept of inflation can be lowered lower, when the price of basic necessities can be achieved by the community, even though the income received by individuals does not increase, because the biggest influence of inflation is in this sector of needs, even though we cannot ignore other sectors.

Reality is that when inflation happens that means something wrong with the world’s economy and yes, we had pandemic which caused printing of money to survive, which caused inflation, and that means it’s a whole world problem and now that there isn't any printed, not many people are left with that newly printed money. This causes everyone to have financial trouble, and when people have financial trouble it’s impossible for them to buy bitcoin.

The world economy is a major factor in inflation. But on a small scale, inflation can also occur in any country, with many reasons and causes that occur.
Perhaps the bitcoin purchase in question amid inflation is not for low-income people, but for people with above-average incomes.
Because people with low incomes, whether inflation or not, can't buy bitcoins either. The relationship between the two sources is irrelevant, in a bitcoin buying relationship in the midst of the ongoing recession.

[Dunamisx]

I still can't understand how debt could serve the purpose of an asset and not liability

that is correct -we all are victim of inflation - but there is no use to talking about it all the time because it will not be helpful
As far as commenting is concern - yes it can help us earn some $$ - but the real thing is to earn so much money that you forget that the things are expensive

This is a simple solution but at the same time it is the most difficult of all to actually implement, and it is not difficult to see why this is the case, when we are going through a period of inflation everyone begins to suffer because of it so it is natural that people begin to think about earning more money, but what happens when every single person is trying to do the same at the same time? It becomes way more difficult to actually achieve your goals and as such unless you were earning a lot of money already this is something very difficult to achieve.

This is like closing your eyes and ears to the world most discussed and happening problem nowadays. People are suffering from this inflation in their daily life ,food , bills or basic commodities everything is unaffordable for poor or middle class of economy.  Yes rich are getting richer and poor are getting poorer this is today's reality.

The government has the major role to play here and i give kudos to some countries whose government have been consistently considering the poor and less privileged in times of economy hardships, such is been experienced during the covid pandemic lock down phase, to start with let us consider the population growth of each country, the numbers of mortality in ratio to that of natality, if we consider the increase in growth rate of population within the space of five years then we will know that government does not eventually put into consideration a plan, access and the right for a living standard of the newly born generation which will in few years constitute to populate the numbers of a particular country, we are growing all over but no enough capacity measures put in place to accommodate the living standard required by individuals.

[Silberman]

Inflation victimizes the poor and the underclasses while making the rich richer paper-wise. The ever-increasing prices of commodities makes it so that the poor will spend more money than they have to, while the rich could continuously earn more money than they know what to do with. Sure the increasing prices of some items and services may hurt them a little but at the very least the elites wouldn't have to worry about how to find food and money for the next days like we do. So you are correct, and the fact that the value of money is steadily decreasing the more it's used isn't helping either, there will come a time when we'd have to rake in bags of dollars for measly purchases, which is why digital purchase is a thing.

The rich have a lot of ways to escape inflation, which is what makes its effects so unfair as the ones that suffer the most are the middle class and the poor, the rich have most of their wealth on hard assets, they either have real estate, bussinesses, jewelry, art, gold and now even bitcoin, so the inflation of fiat currencies does not really affect them that much if at all, but for the rest of the population the effects are massive, which is why people which were middle class before the crisis end up becoming poor.

[Bitcoin2009]

Inflation is a problem that we will not be able to avoid if we still use a centralized financial system, people will think that by saving as much money as possible it will be successful, but if there is inflation then the value of the money drops drastically.

[EarnOnVictor]

Nothing is happening now that has not happened before or will not happen again after now. It is the world's government that needs to rise up to the challenges, and I know they would as the world always wins in the end. Inflation is bad just like deflation, and it is plaguing the world heavily at this time, but the good news is that a good government has all the mechanisms to tame it, it might only take time.

However, I totally disagree with you on turning to decentralize currency to curb inflation, what would that do? I guess you don't know economics, which could only be the reason for saying that. What have Bitcoin and other decentralized coins done in this time of inflation? That should have told you something.

The more the decentralization of the economy, the worse things would become because many valid transactions would not be counted towards the right economy (country).

[The Sceptical Chymist]

And inflation isn't always bad. It's a part of growth.  It is a natural occurrence that happens when an economy is growing.

So the economists say (and since I'm not one, I'd be a pompous jackass if I vehemently disagreed).  However, as with so many other things, it's the degree--or in this case, the rate--that matters.  My non-economist brain tells me that all is well when wage inflation at least matches price inflation but that situations like those in Venezuela or even Weimar Germany, i.e., hyperinflation, are bad.  Really really bad.

I'd also say that the inflation rate of the 1970s was pretty bad, and that wasn't even close to hyperinflation.  I can't remember how high it was, but people still remember it to this day--and now when I go shopping for food, it seems like prices of certain items keeps going up week by week, so I have to wonder if we're going to see the inflation rate get as high as it was 40+ years ago.  It definitely seems that way.

Oh yeah, by the way: just when we thought gas prices were on their way down to acceptable levels, they shoot back up to nearly $4/gallon.  In California I think it's more like $6/gallon.  And I know it's much more expensive in Europe, but it doesn't seem to bode well for the economy as a whole in the US.

[FinneysTrueVision]

It seems insane that people think we can pump hundreds of billions of dollars into endless wars and everything will turn out fine.

The sanctions on Russia are severely affecting ordinary citizens. Throughout history we've had countless examples proving that sanctions are ineffective at getting countries to comply with the US and Europe's demands yet we keep going down the same route knowing that many people's lives will be destroyed. People are paying many times more for groceries, gas prices are hitting record highs, and Europe is suffering an energy crisis but still you have all these batshit crazy warmongers cheerleading for further escalation with Russia, more sanctions and more money printing.