When you go to the store and select items that have been your favorites for many years you notice a couple of things (as do I). The prices have increased and the sizes are smaller. One less obvious change is the quality; and sometimes there is a such lessening of quality that your ‘favorite’ product is no longer desirable – or in that sense – no longer available.

Is it ‘sneaky business’ or is it a survival mode for businesses in an inflationary environment?

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Do you see what is happening here? Inflation is undercutting the ability of businesses to provide you with the goods and services that you want.Consider these three options and their consequences:

1). The price can go up to fully compensate for the inflationary pressures. If that is the case then in no uncertain way your cost of living has gone up. You can either pay a higher price than you did in the past, or you can cut back and have less, or choose none at all. Your cost of living has gone up.

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2). The size is smaller and so you are required to modify your use or buy more units. Having to allocate differently because of the smaller size is evidence that your cost of living has increased.

3). You buy the item and then when you use it you notice that it does not perform well. Say you buy soap but you have to use much more to get the same cleansing effect. If the production process has completely switched it may be that the product that you used before is no longer even available. When you can no longer find the product that you like then your disappearing choices causes a decrease in the quality of your life (raises your cost of living). Or if you have to settle for a lesser product then your cost of living has increased.

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This is happening steadily and mercilessly.

It is faulty reasoning to blame the producersbecause they are experiencing the same kind of inflationary impacts throughout their production process (the producer goods are more expensive, smaller, of poorer quality) and as consumers of goods, just like yourself.

Do you see why it is so important to bring out into the open the true nature and effects of inflation? The longer inflation lurks in the shadows the more harm it does to everyone and that includes – most importantly – YOU.

Pay attention to the rising cost of living. Do not expect any mercy. Firmly resolve to take whatever action is necessary to stop inflation at its source.

FACT: In 1910 a U.S. dollar bought 3 dozen eggs + 2 pounds of sugar + two pounds of coffee + an hour’s worth of work for hired help.

Question: Why is it so harmful for producers of goods and services to be blamed for your unhappiness about the price or the size or the quality of your favorite goods and services?

The best way to take action, perhaps, is to tell others about this INFLATION Series. This series brings inflation out into the open and identifies its source.

The next topic will be: Inflation undermines private property.


No one talks about this

yet it affects everyone, everywhere, all of the time.

Making it visible is of great value.

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