Inflation's Rich vs Poor Impact

Inflation is a tax for poor people who don't and often can't hold assets that appreciate with time. It not only makes their savings worth less, but also makes their fixed salary have less buying power.The wealthy love inflation since it's just going to pump their assets and redistribute money from the poor into their pockets.

Inflation moves money from the rich (who have assets) to the poor (who have debt). Can't have that...

Inflation helps debtors (because the real value of the nominal debt is reduced by inflation - debtors borrowed "high value" money and later, after inflation, can pay it off with "low value" money) and hurts creditors (same reason, just the effect is reversed).Rich people are (mostly) creditors. Poor people are (mostly) debtors. Inflation tends to hurt rich people (creditors) and help poor people (debtors). The people who run the economy are almost universally rich, and

All prices (but not wages - in case of low income people) are rising with inflation. The rich don't store value as currency, so there isn't any transfer of value because they don't own this kind of asset, just like inflating dollar does nothing to my euro holdings. Actually, since the only thing rich people own that's denominated in currency is debt, rich people get richer thanks to inflation. Inflation is making it worse for poor people; rich people would have stopped it a

The poor have nothing to protect from inflation: they don't have significant savings, they spend their income the day/week/month that they get it. Their wages should go up to match inflation, and if they don't, its not really related to inflation itself but stingy bosses who aren't sharing increased prices (since given inflation, prices are supposed to rise, right?).The rich are both lending and borrowing money; again, who do you think they are borrowing

Inflation does benefit people who are in debt (who are mostly in the bottom 20%), because it means that they can now pay back the money they previously borrowed with money that is now worth less. This is basically necessary for the modern economy to function, because without it (or some form of debt jubilee) the share of income allocated to repaying debts would approach 100%. On the other hand, prices tend to rise faster than wages, so too high inflation can be bad for the working class.

Not sure if this is tongue in cheek, but no. Inflation relatively benefits those who have a higher percentage of their net worth in assets than cash (i.e. the rich). It also benefits those who have a lot of debt. Before the Fed got into the habit of keeping artificially low interest rates as a means to originate inflation (and fund Congress), this might have benefited the poor (at least those credit-worthy enough to take on meaningful debt). But now, the depreciation of debts in an inflationary

Inflation means that wages go up along with the prices of groceries, so it's a wash. The only thing that suffers with inflation is a big pile of cash, which poor people don't have (they generally owe a big pile of cash, which inflation shrinks for them).The people trying to scare everyone about inflation are the ones who the poor people owe the big pile of cash, and they have a very large megaphone.

No, dantheman has it right. Inflation hurts poorer people proportionately more. Richer people tend to have assets like property which inflate in value right along with the currency. If you inflate by 15% from one week to the next a rich person's standard of living hasn't decreased much, but a poor person's certainly has.

Working class and poor don't really have investments. They have cash for paying bills. These groups are particularly hurt by inflation because they can't afford to have investments. The rich don't care as much because the rich have investments which track inflation.