Inflation (1 Viewer)

[Vultra_]

Not doing economics for my hsc but I am wondering why people don't keep the absurd amounts of money lying about during inflation and wait for it to end, they'll be rich as @#@#@. (Doing economics in commerce right now)

 

[#RoadTo31Atar]

Inflation is the rise of prices, if you have 100k stashed under your mattress it will still be 100k but it will have less purchasing power because everything else is now more expensive.

 

[brent012]

For completeness, there's also been ideas thrown around recently about removing or discouraging cash.

In that event, a lot of the conventional economic wisdom discussed above gets thrown away as it removes the ~0% floor on interest rates and could ban hoarding of money outside of the financial system + incentivise spending with potentially deeply negative interest rates. Interesting stuff, but possibly most sources about it online are quite alarmist.

Australia’s march towards eradicating cash

Why the real agenda isn’t what they say it is and how it will affect us all.

medium.com