The Economy of The West - Inflation

[Daniel Balan]

Why has everything gotten so god damn expensive in the last 5 years? Here in Europe I have the same wages I had in 2020, and I barely can afford to buy food. In 2019 I could fill my fridge with the money I earned, right now I have to organize how much I spend on food so that I don't starve by the end of the month. 

What is the reason for this sky high inflation? Is it the gigantic public debts? Is it because everything was privatized by the state to private owners? Is it greedflation? Is it that the government is not involved enough in economy? Should key industries be nationalised? Is it because of democracy? Do we need dictatorships? Should we adopt the authoritarian dictatorial model of China? Is it because we stopped buying gas from Russia? I doubt this is the case because America has the same inflation problem, yet they don't relly on cheap Russian gas. I am genuinely interested in this subject and I want to bootstrap inquiry, rather than watching random people on YouTube share their baised and partisan opinions. Thats why I came to this forum to ask this question. Please give me your thoughts.

Edited Monday at 07:29 PM by Daniel Balan

[Daniel Balan]

Anyone? @Leo Gura What's your take on this?

[Inliytened1]

12 hours ago, Daniel Balan said:

Why has everything gotten so god damn expensive in the last 5 years? Here in Europe I have the same wages I had in 2020, and I barely can afford to buy food. In 2019 I could fill my fridge with the money I earned, right now I have to organize how much I spend on food so that I don't starve by the end of the month. 

What is the reason for this sky high inflation? Is it the gigantic public debts? Is it because everything was privatized by the state to private owners? Is it greedflation? Is it that the government is not involved enough in economy? Should key industries be nationalised? Is it because of democracy? Do we need dictatorships? Should we adopt the authoritarian dictatorial model of China? Is it because we stopped buying gas from Russia? I doubt this is the case because America has the same inflation problem, yet they don't relly on cheap Russian gas. I am genuinely interested in this subject and I want to bootstrap inquiry, rather than watching random people on YouTube share their baised and partisan opinions. Thats why I came to this forum to ask this question. Please give me your thoughts.

 It's the tarrifs according to the left.  Haha.  But it's real and it's fucking crazy. 

Edited Tuesday at 08:19 AM by Inliytened1

[Hayato]

I am not an expert, but here is my opinion.

Fiat currencies go down with time due to the non stop printing. And this is by design.

The war in Ukraine has been very expensive and also Europe has cut itself off from cheap energy resources over the last years.

 

[Twentyfirst]

The middle class is disappearing. Have nots or have yachts 

Figure out how to make more money, leave to somewhere where your money goes further, or figure out how to enjoy the lower class

[Inliytened1]

2 minutes ago, Twentyfirst said:

The middle class is disappearing. Have nots or have yachts 

Figure out how to make more money, leave to somewhere where your money goes further, or figure out how to enjoy the lower class

Yeah it's not disappearing it's gone. If you didn't invest you're fucked.

[Twentyfirst]

3 hours ago, Inliytened1 said:

Yeah it's not disappearing it's gone. If you didn't invest you're fucked.

If you have some amazing skill you can still extract from the market 

Maybe AI will bring about something for a new middle class

[Daniel Balan]

Anyone else? I started this thread to get some answers, please guys, I want a clarifying answer

[Daniel Balan]

?

[Twentyfirst]

10 hours ago, Daniel Balan said:

Anyone else? I started this thread to get some answers, please guys, I want a clarifying answer

It doesn't matter why. What matters is how are you gonna win?

[Daniel Balan]

@Twentyfirst Win at what? I'm not fighting anybody. All I want is to have food in my fridge without spending the entire monthly wage I earn.

[Twentyfirst]

18 minutes ago, Daniel Balan said:

@Twentyfirst Win at what? I'm not fighting anybody. All I want is to have food in my fridge without spending the entire monthly wage I earn.

Win for yourself. Win at inflation 

You don't want anything more than basic food?

[Daniel Balan]

13 minutes ago, Twentyfirst said:

Win for yourself. Win at inflation 

You don't want anything more than basic food?

Honestly, no. If I have food on my plate and air in my lungs, and a place to sleep? I'm the happiest in the world. I have very low requirements to be happy. I don't need much.

[Daniel Balan]

@zazen come here. I want to hear you thoughts on this. Share your perspective.

[Twentyfirst]

2 minutes ago, Daniel Balan said:

Honestly, no. If I have food on my plate and air in my lungs, and a place to sleep? I'm the happiest in the world. I have very low requirements to be happy. I don't need much.

No offense but that's probably why you are having trouble with inflation 

[Daniel Balan]

Just now, Twentyfirst said:

No offense but that's probably why you are having trouble with inflation 

Lack of personal ambition? Probably.

[Twentyfirst]

5 minutes ago, Daniel Balan said:

Lack of personal ambition? Probably.

People with ambition don't struggle with food in the fridge but they struggle with plenty of other things. Choose your struggle I guess. I'm not saying you should change and become money hungry I'm just saying thats probably the reason why you find yourself worried about inflation 

[Vali2003]

I don’t know about all of the west, but I can speak a bit for Germany. Everything here has been getting more expensive — in terms of purchasing power. 

Inflation always happens and the goal is to keep it at around 2% per year. But usually the GDP of the country also grows each year, which is why the purchasing power doesn’t change or even increases potentially — ergo: enough money to have food in the fridge. 

In Germany the GDP hasn’t really grown that much since 2019. Even before Covid if I recall correctly. Then Covid and Ukraine war happened, which again fucked the growth rate of Germanys economy, as well as rising costs of electricity and some other stuff, which again reduces purchasing power. 

Then tariffs coming in now from the US also help tank the GDP. 

Lack of GDP growth leads to the wages not being adjusted to the inflation, which is why you have less money in the wallet or, struggle to put food in the fridge. 

I could imagine that things are similar in Romania or in other countries. 

I’m not very confident that all this is correct to be honest hehe, but this is the best I could do. 

[Daniel Balan]

3 minutes ago, Vali2003 said:

I don’t know about all of the west, but I can speak a bit for Germany. Everything here has been getting more expensive — in terms of purchasing power. 

Inflation always happens and the goal is to keep it at around 2% per year. But usually the GDP of the country also grows each year, which is why the purchasing power doesn’t change or even increases potentially — ergo: enough money to have food in the fridge. 

In Germany the GDP hasn’t really grown that much since 2019. Even before Covid if I recall correctly. Then Covid and Ukraine war happened, which again fucked the growth rate of Germanys economy, as well as rising costs of electricity and some other stuff, which again reduces purchasing power. 

Then tariffs coming in now from the US also help tank the GDP. 

Lack of GDP growth leads to the wages not being adjusted to the inflation, which is why you have less money in the wallet or, struggle to put food in the fridge. 

I could imagine that things are similar in Romania or in other countries. 

I’m not very confident that all this is correct to be honest hehe, but this is the best I could do. 

Finally an aswer that addresses my original question. Thanks for sharing @Vali2003

[Hayato]

You can start a business, or join a self sufficient community. There are always options.