Why can’t prices just stay the same?

Why does economics always feel like an big international game of tightrope walking

"Companies make more money, which means more people have jobs." Are you sure about that?

Inflation: 8%. Pay raise: 2.6%. Boss: "Congratulations on your pay raise!"

So when they say.. "inflation is a good thing".. You mean.. "it's a good thing for companies. We don't care about the average people"

Inflation allows companies to cut your wages without cutting your wages.

You completely forgot about "parachute" pricing. This is where prices go up, the companies like the additional revenue and purposely slow the decline back to an acceptable amount. 🤬

i see two leaps in logic inflation, "people will buy something now, in fear of the prices rising" deflation, "people will put off buying something, in hopes that prices will drop" i don't think i'm typical of the average shopper\spender but if i want\need to buy something i just pay the current price i'm no good at predicting the economy

More people have jobs, but you forgot the part where the people who have jobs get paid the same.

We are getting this concept told for decades now. But does it really make sense? Do you buy a new laundry machine/smartphone/coffee because you fear that it will be more expensive next year? Would you visit restaurants less frequently, when their prices get cheaper, expecting that prices will fall even more next year???

That was a weird ad spot. Came out of nowhere

5:00 "consumers stop making purchases in hope things will be cheaper"? Am I the only one who buys things because I need them, not because they are cheap or expensive?

the consumer mentality in the cycles is so wrong. you don't buy less when price is lowering. you buy less when you have less money.

Except these days companies take all the profit of inflation for themselves and still lay off people.

As a medieval historian, I can tell you that the modern approach to inflation ("a little inflation is a good thing") is an historical abnormality. Historically, prices stayed relatively the same, even over generations, unless there was a major shock to the economy (like the king discovering a new gold mine, or something).

I foresee a recession lasting 2-3 years, and if inflation continues to surge, the Federal Reserve will likely raise interest rates soon. Inflation is causing various issues worldwide, such as food shortages, scarcities of diesel and heating fuel, and significant spikes in housing prices, leading to a potential financial market crash. This global downturn could have long-lasting repercussions. Given the current inflation rate of approximately 9%, my main worry is how to optimize my savings and retirement fund, which has remained stagnant at around $300,000, yielding almost no gains for quite some time.

I love this and DCA everyday on what I'm overweight in. I used to do the auto deposit however I stopped when I couldn't guarantee at what time my deposit would go thru. I like to control the time I deposit and buy daily. Love your video. New subscriber here.

It's tax on people who stuff their money in their mattress.

Companies cut labor no matter what because they are only concerned with increasing shareholder profit.

So you tell me the economy runs by encouraging people buy things they don’t actually need? Because if they really need it, they won’t wait for lower price tomorrow

"The reason inflation can't stay at zero is because governments and their banks don't want it to" Oh, so it can stay at 0. People are just greedy. Shocker