Asset Inflation Don't Care

“Changes in U.S. Family Finances from 2016 to 2019: Evidence from the Survey of Consumer Finances” is a short report on various economic factors in America.

In this report, there is an approximate increase in median family income of 5%, and mean income decrease of 3%. In other words, income distribution is narrowing, and the middle class is growing in wealth.

Or so it would seem.

The report goes on to list that a broad stock price index grew at an inflation adjusted rate of 11.5% annually.

It doesn't matter one's rate of inflation - even the smallest potential rates, 2%, decrease purchasing power by 50% every 20 years.

In an inflationary environment like this, equities are stores of value. So inflation, if you want to store your value, is the difference between your growth in income and the growth in the assets you wish to store value in.

In this case, even adjust for inflation, assets far outpace the growth of the middle class's income.

Asset inflation, truly, doesn't care about statistics. If one wants to store their wealth over time, they need to be outcompeting the rate at which assets rise in price, and for many, this is impossible.

Only through Bitcoin can we return the wealth to the people, by leveling the playing field ona deflationary, immutable monetary system.