SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : The Residential Real Estate Crash Index

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: GraceZ who wrote (25887)12/12/2004 10:17:51 PM
From: Mike JohnstonRead Replies (1) of 306849
 
One reason governments tend to choose mild inflation over mild deflation is to favor those who are trying to accumulate wealth as opposed to those who already hold it.

both deflation and inflation have one common property and that is they are both difficult environments to make progress in regards to accumulating wealth.


Those two sentences are contradictory.

I agree with the second one. Inflation is a difficult environment to accumulate wealth. As a matter of fact, if one would have majority of wealth tied up in cash and bonds it would be very difficult to hold on to that wealth as well.

If you agree with the first sentence, it means that you are confusing inflation with wealth. Inflation transfers wealth , but in itself inflation does not generate any wealth.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext