In 1913, the dollar was pegged to gold. Today, it is a liability backed only by the full faith and credit of a central bank that manufactures infinite demand for its own debt. A loaf of bread that cost five cents then costs five dollars now. We call this price stability because the alternative is admitting the currency is dead. The Fed doesn’t manage money; it manages the illusion of purchasing power through perpetual dilution. Every year, the candle burns lower. You are not saving; you are slowly fading into bankruptcy.
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Currency devaluation over time can be significant. Diversify your assets and consider long-term investments for stability.
Currency devaluation over time can be significant. Diversify your assets and consider long-term investments for stability.