Look at these numbers and feel the power of inflation.
$100,000 in 2000 is only worth $188,000 today — in over 20 years, purchasing power has shrunk by nearly 50%.
Looking further back, $100,000 in 1980 is equivalent to $393,000 today. Going further back, $100,000 in 1960 would need to be $1,095,000 today to buy the same things.
Bank interest cannot keep up with inflation, which is basic economic knowledge. Your savings are depreciating, and the interest the bank gives you can't even match the inflation rate.
This is also why more and more people are starting to consider inflation-hedging asse
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