Inflation is just the increase in currency supply. Over time, they create more money and the price of things go up. This is a simple concept and people generally understand this principal but they fail to understand how this affects them in the financial world. It's more than just the increase in price of goods. You've got to calculate inflation into the equation when considering an investment. Inflation is a tricky way of changing the way money works. It is easy to overlook the effects inflation has on how money works. It gives the illusion of rising assets while in reality what we have is a declining dollar. As they print up more money, assets go up in price while the value of the dollar continues to drop.
Inflation is a hidden tax on the people. Every time a new dollar is created, the existing dollars lose purchasing power because there are more dollars chasing the same amount of goods and services. It's very sneaky and is right underneath everyone's nose. Especially if done over a long period of time. People aren't thinking about it too much if it happens over the period of ten or twenty years. When it happens very quickly it's much more noticeable and people are more likely to recognize the effects.The people at the top of the chain get the newly created money first and the get to spend it. By the time is gets down to common people the value of the newly created currency has already been reduced along with any money that had been saved...
[Article excerpt ends here. Look for more to come with the official launch of the BETA version of THE AWARENESS REVOLUTION.]
