A 3% inflation rate means that savers who earn a decent living - TopicsExpress

A 3% inflation rate means that savers who earn a decent living have to live in relative poverty now in order to defer enough consumption to retire still in poverty tomorrow. Yet with “real” inflation pegged closer to between 8% and 10%, saving (in dollars) becomes utterly senseless. Simply saving more in the face of ruinous inflation is not only futile, it is impossible for lots of people. 42% in the Wells Fargo survey say it is already impossible to pay bills and save for retirement. Imagine trying to save now for a future where $170,000 won’t even get you a decent used car!

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