And wages that used to be $1.50 an hour are now $15.00 an hour.
And $10,000 in retirement savings from back then has shrunk by 90% in living expenses purchasing power.
People who have jobs can survive that sort of inflation, but sooner or later (certainly within 50 years), one no longer is earning wages but trying to live on what one scrimped to save.
Inflation wipes out savings. Wages is only half the picture.
“And wages that used to be $1.50 an hour are now $15.00 an hour.”
What about those that retired and only made $1.50 having to live in a $15.00 world? You’ll be there.
That makes the point that the dollar is only worth 10% of what is was back then, doesn't it?
You now need to be paid roughly 10 times as much money to buy the same products.
So we handle ten times as much paper but basically live at the same level.
So at that rate of inflation, even without hyperinflation, we can project that a new car will cost about $250,000 in 2050.
A gallon of gas will be $35 - $40.
A loaf of bread will be $15 to $20.
A one day admission to Disney World will be about $1,000.
A package of cigarettes will be $50 - a full carton will be $500.
But the minimum wage will be at least $75 an hour and most people will demand $150 an hour or more.