Some find that there's been a " ... higher elevation ... " of prices ...

... of basic necessities, as well as many other things, in recent years.

At least we haven't recently had to suffer the high inflation rates as in early '80s - 12% for a while.

Some older folks chortle about how they made 19% on Canada Savings Bonds about 1981.

When I tell them that they were lucky if they were able to keep about 2 - 3% of that, they say that I'm nuts.

The income tax people want to talk to you about all of your income in any given year, and many were paying at least 25% - which reduced the 19% to about 15%, after-tax.

As you know, $10,000. won't buy as much now as it would ten years ago.

If you buy a guaranteed certificate at the bank, bond, etc. they guarantee to pay every borrowed dollar at maturity.

But don't refer to the other guarantee - they won't pay you a single dollar more, either, above the rent on the money.

So you must deduct the rate of inflation from the interest that they pay to add to the basic asset in order to maintain its purchasing power.

What was the rate of inflation about 1981?

About 12%, as mentioned above.

Which doesn't leave much for the owner of that asset to put into her/his pocket.

When governments borrow huge amonts of money, many owners of money won't lend it to them unless they offer higher rates of interest. Then the prices of goods go up. Resulting in escalating rates of inflation.

I remember an old retired doctor who went to Korea to help cope with the ravages of tuberculosis just after the Korean War, who said that inflation was government theft.

I disagreed heartily at the time.

That was 50 years ago - I don't dispute his claim, now, having become somewhat more knowledgeable during those years: perhaps a little more cynical, as well?

Happy are they who have (at least partial) indexation of pension(s).

Good wishes for good health, enough to live on and good friends during retirement.

ole joyful