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learn what is inflation in 2 minutes (animated video) – Professor Savings

Hi,

Professor Savings here.

What is inflation?

Take Jane here about to shop at super marketing.

Let’s say it’s 2014 spends $100 for 10 items.

A year later in 2015 spends $105 for 10 items.

This result in 5% inflation.

What causes inflation? This is when country has too much money compared to asset.

So the strategy to combat inflation.

1. you can buy or run small business and sell it when it appreciates

2. you can purchase real estate as an investment

3. you can purchase stocks. Buy low, sell high.

But please consider that there are certain level of risks for any investments.

Please make sure you subscribe to our channel if you want to learn more about finance basics.

If you comment and like, we would be very happy as well.

 

Professor Savings signing out.

 

 

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