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Old 02-15-2013, 04:43 PM   #29
Arkie
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This chart shows the deterioration of the dollar. We've had non-stop inflation (blue) since WWII. The skinny spikes are normal depending on the economy. The part you have to worry about is the length along the x-axis without a change of direction. If you understand compound interest, then you can see how the compounding inflation percentages every year for the last 60 years would blow everything pre-1950 off the graph. A dollar in the 1600s was still roughly equal to a dollar for the next 300 years. A dollar in 1940 equals 6 cents today.



The inflation tax is paid by the poor to the rich. Who do you think is benefiting from all the QE? Everybody will pay higher prices when this money finally reaches the people, but the privileged get to use it before the prices rise.
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