People began piling into tangible goods because prices had doubled twice in the last eight years. But despite this, people were more worried about unemployment than they were about inflation. In 19 14, one us. Dollar was worth about four or five german marks. By november 19 23, one we. Dollar was equal to one trillion marks. And ordinary citizens were bartering goods with one another. They were that into tangible assets that by 19 23, people were trading a handkerchief for some carrots, or a shirt for some shoes. People were also aggressively investing in foreign currencies, trading german marks for a litany of currencies from many other nations. This is a history lesson.
#365: Nearly every financial news story for the past several months has centered around inflation – but what, exactly, is inflation? What are its causes? What are its effects? How is it measured? What notable inflationary events have unfolded throughout history, and what can we learn from these?
In this episode, we peel back the layers of the onion in order to deepen our understanding of the concept of inflation. We discuss hyperinflation, biflation, stagflation; we discuss the CPI, the PPI, and core inflation. We discuss the demand-pull inflation, cost-push inflation and the wage-price spiral. We resist the temptation to make predictions about the future, choosing instead to focus on refining our understanding of the present.
Enjoy!
For more information, visit the show notes at https://affordanything.com/episode365
Learn more about your ad choices. Visit podcastchoices.com/adchoices