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INFLATION

October 15, 2022

The arch enemy of money is inflation because it reduces the purchasing power of money. With 150 rupiahs you could buy a liter of gasoline in 1980. In the 1990s, you needed 550 - 1000 rupiahs to buy the same 1 liter of gasoline and in 2022, it will cost 10,000 rupiahs per liter. This is inflation. We cannot avoid it, but we can plan for it. One way is by looking for investment instruments that provide higher returns than the inflation rate.