I’ve always been told by my grandmother that a plate of char kway tiao used to cost $0.10, and the same plate now would easily cost $3. Who is the culprit behind this…? The vendor? My grandmother? The plate? Or the char kway tiao?? No.. It’s actually something called inflation.
So what exactly is inflation?
Inflation is the increase in prices of good or services over time.
Inflation leads to higher prices and lower purchasing power. It is a monetary phenomenon that is caused by a country printing more money that it’s justified by the country’s wealth. When more dollars are issued for a limited amount of assets, the value of each dollars is decreased.
Let’s see what is Warren Buffett says..
As mentioned in my earlier post about my goals of wanting to have $1,000,000 by 42 (which is 23 years later). I …