How Inflation Changes Things

An interesting series of thoughts from CNN Money on how prices change over time. One thing to note: the $6 million man would now cost $26 million (at best) to build. ;-)

Comments

[Matt N]

While the $26 million figure is impressive, what I find even more impressive is the idea that today they actually could build him (minus the super strength of course).

[Curt]

The dollar is the Reserve Currency of the world, which is the primary currency used to buy/sell oil, which forces all nations to have dollars. The falling value of the dollar is creating a global currency crisis as everything moves with the value of oil, which is dropping primarily because the dollar is loosing its purchasing power against other currencies.

This is the biggest financial crisis the world has faced since the Great Depression.

Here are a few of the actual changes coming our way.

Inflation changes the entire economy, leading the government into prices controls and wage freezes and eventually higher interest rates. People switch to survival mode, by hoarding food and supplies, cutting back on comsumer goods and pulling money out of the banks and purchasing stronger currencies to preserve their wealth. Business changes by abandening low margin products and product investments as it becomes more profitable to gain interest then investing is more products.

Sometimes I wonder if the great ol' USA will soon become a 3rd world country! It is sad what we are doing to ourselves and the rest of the world. God save us all!