The hidden tax

Annualized core inflation pic.twitter.com/VRvYSVbLKY

— zerohedge (@zerohedge) June 11, 2021

A very perverse incentive:

If you saved money over the last year, responsibly planning for the future or building up a rainy-day fund, it’s now eroded in real value because the same amount of money buys you less than before. But if you had simply binged your entire paycheck after receiving it, you wouldn’t have lost as much of your real resources. And if you finance your spending binge by running up credit card debt then receive an inflation-fueled pay bump, that debt is easier for you to finance.