inflation
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- Inflation Comic Strip
- Walker Keithley
- Monkey 1 has 10 bananas, but monkey 2 has 0, making monkey 1 rich and monkey 2 poor. Monkey 1 goes to the market and buys a coconut for 5 bananas, while monkey 2 can't.
- Now, monkey 1 and 2 have the same amount, meaning they can both go buy coconuts. But, the market owner is smart, and he raises the price to 10 bananas for 1 coconut. Now, the value of bananas was cut in half, making them worth less.
- You may now be wondering where monkey 2 got his bananas. Well, monkey 2 got a job and earned some bananas, so then both monkeys had 10 bananas.
- This happens in the real world too, how much the dollar is worth increases a little every dy. It's not a bad thing, in fact it means that the economy is healthy. Inflation is inevitable, and when it increases slowly it is perfectly normal.
- Now imagine those bananas were dollar bills, and then you see why we can't print more money, and how inflation, when it increases slowly, is normal.
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