For example, if you were to invest $ 100,000 today for five years, you would want to get back at least $ 115,927.41 at the end of the five years to ensure that your money has not been
diminished by inflation (assuming inflation is 3 % per annum).
To be sure, not all dollar assets and debts are equally
diminished by inflation.
The payment is fixed in dollars whose buying power
diminishes by inflation every year.According to the government consumer price index (CPI), $ 5,081 in 1970 had the same buying power as $ 30,000 today.
Not exact matches
«People who live at least another few decades will likely be affected
by diminished funding of Social Security, and also the economic impacts that impact the broader economy, including rising interest rates and
inflation,» Hamrick said.
1) Lower economic strength in light of the
diminished medium - term growth outlook, constrained
by foreign currency shortages, high
inflation, lower public sector spending and a weak banking system.
Alternatively, if you are interested only in the effect of
inflation, calculate a total
inflation multiplier (that is, the effect
inflation has had over the years on
diminishing the value of (today's imaginary) gulden) and multiply the gulden's 1950 value
by it.