If you are paying a fixed rate on a mortgage, is inflation then a good thing?
In: Economics
I the rate is fixed, then yes. But that’s part of the problem with inflation. It makes investing money unattractive and so nobody wants to invest or lend money.
Same with deflation. If money is gonna be worth more tomorrow, im not gonna invest or lend to today.
That’s the reason why a stable currency, regardless of nominal value, is the most desirable for economies.
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