Inflation overpowers the value of money

[flyingcarpet]

Lack of purchasing power which is caused by inflation is encouraging economic uncertainty, and this is because many nations has been found wanting in production capacity, instead they encourage importation of consumable goods from other countries, the country involved will therefore put up a policy, that will compel the consumer country to exchange there currency to the currency of the country, they are purchasing from, this will further weaken and stagnate there currency to trigger high inflation rate.

The causes of high inflation can be attributed to the following:
1. Excessive Government borrowing
2. Unwanted and unstable domestic policy
3. Unsatisfiable or lack of domestic production

1. Excessive Government borrowing: the government of many nations has seen borrowing as a norm, there accumulated debts requires generation to come, to service, this is common in African countries where the government borrow funds not for establishing an asset or building an institution that can generate generate revenue, for them to either service existing debts and build more infrastructures, they prefer borrowing funds for either embezzling it or using it for things that are not accounted for.
They do this without minding the consequences that may be accompanied with this act, at the end countries like this dips in high level of inflation and valueless currency.

2. Unwanted and unstable government policy: the government policy most times are unfriendly and it is repeatedly done, just for example allowing the importation of already existing good to there country, instead of boosting the production of such goods to meet it's citizens consumption.

3.lack of domestic production: government of many countries practically don't have anything to offer, the keep on wasting the little resources available to their reach, failing to encourage local production, the government should look into locally made goods, this will avail them the opportunity to do business with countries that are interested in the product and services, as the case may be, they should make it their priority to lure local investor, reach a compromise with them, allow them to produce at a minimal taxing rate, this will enhance the domestic needs of the country, No doubt we need each to survive but not in everything.

First of all, moderate inflation is not bad for our economy or ourselves. It stimulates economic growth and promotes capital formation.But high rates of inflation lead to a retarded standard of living as they reduce the real income of people. It's regressive; that is, it adversely affects poor people. It increases inequalities (it increases the profit margins of business entities while reducing the real income of the salaried class—the rich become richer and the poor become poorer), and it reduces capital formation.Moderate levels of inflation are acceptable, but high inflation definitely warrants action by the government immediately.

You summarized the situation very nicely. I agree with what you say, especially about increasing inequality. Increasing inflation also brings about a sharp increase in inequality between classes within the population. These classes are the rich, the middle class and the poor. The increase in the difference between these classes also disrupts the basic way of life of the society.

One of the most important things that the state should intervene in is to prevent the gap between these classes from widening. Societies have a certain way of life, and high inflation negatively affects this way of life.

[barisbilgili]

Inflation, I agree, is a serious issue. It's not just a number that ticks up; it's a real pain for people, especially the poor. When prices go up, the cost of living skyrockets, and that's a problem. Goods and services aren't just commodities; they're necessities, and when they become more expensive, spending dros. It's basic economics. The poor, who are already struggling, find themselves in an even tighter spot. They can't afford the basics, and that's not just bad; it's unacceptable

If inflation occurs, it is not only poor people who will experience difficulties in meeting their living needs, those with middle class incomes will also have difficulty meeting their needs, because if inflation occurs of course the price of goods will be more expensive and people will have to rearrange their needs. in order to meet basic needs and also have to limit spending the money they have on things they don't really need.

You summarized the situation very nicely. I agree with what you say, especially about increasing inequality. Increasing inflation also brings about a sharp increase in inequality between classes within the population. These classes are the rich, the middle class and the poor. The increase in the difference between these classes also disrupts the basic way of life of the society.

One of the most important things that the state should intervene in is to prevent the gap between these classes from widening. Societies have a certain way of life, and high inflation negatively affects this way of life.

With increasing inflation, there will of course be inequality in society because people with low incomes will find it more difficult to meet their basic needs because the price of basic needs will be more expensive when inflation occurs. Every society certainly has its own way of dealing with inflation, such as reducing their spending on things that they don't need it.

[gunhell16]

Inflation has the ability to destroy buying power in the future. Because when the worth of products and services rises, the same amount of money can only buy so much.

And, in my opinion, when this happens, it will be impossible to provide basic demands such as housing programs and food. Furthermore, most people will struggle to save for retirement. Such a scenario is a severe issue for individuals that should not be overlooked. Because it could generate economic instability.

[Wind_FURY]

First they said that there's nothing to be afraid about, then they said that inflation is "transitory" - it will go away once "supply open", then they said that inflation is "good" because it represents demand, THEN finally they are saying that "INFLATION IS YOUR FAULT".

¯\_(ツ)_/¯

Do we control the money printer? Is it our fault that government spending is increasing?

[itorai]

To begin with, inflation is not a discrepancy. Inflation is an integral part of the current economic system. Echoing franky1, it's there by design. It's intentional. It's there on purpose. It isn't something that takes place because of incompetence or failure on the part of the government or because of something beyond the control of economic managers. That the prices of goods and services will continuously increase and that the purchasing power of money will continuously weaken-- albeit in a moderate and controlled manner-- are part and parcel of what is considered a great economic design.

Yes, that's how it is, I also know that information from several sources who say the same thing. However, we can only live with what is already in the system.