The harm of inflation 1. Currency devaluation makes people's wealth shrink.
Inflation is serious. A steamed stuffed bun used to cost only one yuan, but now it costs ten yuan. The daily living expenses of ordinary people are ten times higher than before. Moreover, the more substances related to daily life, the more severe the price increase. The purchasing power of the money saved by ordinary people suddenly dropped to only one tenth of the original. Overnight, it became a poor family. Many people will ask, isn't it great for people who owe mortgages? Where is the fun? Even if you don't have money to eat, you can still repay the mortgage in advance?
A large number of factories and enterprises closed down and a large number of workers were laid off.
With inflation, the prices of various raw materials are bound to soar, and many enterprises and factories can only choose to close down. The closure of factories and enterprises will lead to a large number of workers being laid off. No job, no income. But life goes on, and it still costs money. But now that the currency has depreciated, the lives of ordinary people will be in trouble. Ordinary people's lives cannot be guaranteed, so they have no spare money to buy goods. This will lead to the closure of more enterprises and factories in disguise.
Assuming inflation, how do ordinary people preserve their value? 1. An industry doomed to collapse
Historically, as long as inflation occurs, the virtual industry must be the first to collapse. The stock market must be a terrible green. Moreover, ordinary people have no money, and eating is a problem. No one will be stupid enough to go to the bottom. Therefore, the stock will continue to plummet. You want to throw it out, but no one takes it over. You can only watch the stock turn into waste paper.
In addition, real estate is also an industry with a very serious bubble. Under inflation, a large number of people are bound to cut off their supplies. When the house price is halved, the situation will be slight. No one wants to buy a house no matter how low the house price is. Therefore, before inflation, we must sell all our stocks and funds. In addition, the surplus houses should be sold as soon as possible.
2. Gold and living materials are the most valuable.
Shi Sheng jewelry and gold in troubled times. Serious inflation, causing economic crisis, is actually keeping pace with the times. Paper money will lose its credit and become worthless waste paper. But the value of gold will not depreciate, it will always be hard currency. If you can exchange cash for gold during inflation, you can keep your wealth. Besides, people should always eat and dress. Therefore, in the case of inflation, the most valuable thing is the means of subsistence.
Grain, vegetables, fruits, and some oil, salt, sauce and vinegar are all indispensable in life. If you can master a lot of this substance, not only will your wealth not depreciate, but you can even earn a lot of money. Since ancient times, the country has been in turmoil and economic crisis, and the bottom people have suffered in the end. Therefore, we should all be grateful that we were born in a prosperous and stable country.