Ladies and gentlemen, I present to you a Nobel Prize winner in Economics 🏆🤡🌍 
Discussion
😎
I hope he finds pain
Inflation hits rich people harder because they have more money, and poor people have more debt so it's good for them. Wen nobel prize. 🫠
Here is why it is true:
1) Price inflation precedes wage inflation,
2) Low income households have very little cushion, they need every penny of income just to meet basic needs so,
3) When prices go up before wages, their very basic needs start to get cut, unlike in high-income households who easily cover their basic needs.
This is just obvious.
Does inflation shrink debt? Yes. People in debt have that debt shrunk in real term.
Does inflation shrink savings? Yes. People holding money lose value.
But neither of those affects day-to-day short-term living... paying the bills.
1. Inflation benefits debtors -> nation states and high income are the biggest debtors with low interest rates. Low-income has usually credit card debt, which have higher interest rates than inflation
2. low-income has high cash allocation. High income has low cash allocation.
There is more but those two are the biggest drivers. Fiat system is like Robin Hood for the rich
It's a statist aparatchik prize, no confusion like this