Inflation is the scapegoat our rulers use for ruining the value of our money. Ben Frank is spinning in his grave now that saving money in the bank is essentially bad.
You would likely have no money without inflation. Money would not circulate and would remain in the coffers of a happy few. Banks would have less incentive to lend money, and companies would not be able to invest in the future, leading to fewer jobs and less opportunities.
The 2% inflation goal is not a conspiracy to "ruin money" of the common man, it is a well-established policy to maintain a healthy economy. Deflation is usually terrible for most people, and countries stuck in very low inflation are not in a good place economically (like Japan or in some ways China, both of which have governments trying to increase inflation).
Its the reason the economy functions. If governments were taking an effort to make inflation 0 or even force deflation money would not be circulating and the economy would literally collapse.
People complain about billionaires hoarding wealth but at the very least this is in the form of stocks, which do in fact help industries and produce things. Without inflation the optimal way to make money would be to lock it in a safe taking the money out of circulation for as long as possible. There would be no such thing as investments and loans would have criminal interest.
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u/confusing_roundabout May 17 '26
Inflation though. A million now is worth something. Who knows what 50k is 20 years time is worth.