If the ideal inflation rate is around 2%, won’t money eventually become worthless?

Question

If the ideal inflation rate is around 2%, won’t money eventually become worthless?

In: Economics

Answer 1

The idea is to spur people to spend money. If money loses its value, you’re more likely to turn your money into something else that doesn’t. You’re more likely to buy a house or build a factory or put it into the stock market rather than let it sit in the bank doing nothing