Customer Quote by Michael Hudson
“When we say "people worry" about inflation, it's mainly bondholders that worry. The labor force benefitted from the inflation of the '50s, '60s and '70s.”
About This Quote
Source Speech: Economic Commentary, 2020
Bondholders fear inflation because it erodes fixed‑income returns, while workers benefit from higher wages and prices.
In simple terms: Bondholders worry, workers gain
Consider inflation impacts on different asset classes.
Themes
Mood
Type
When to use this quote
- investment planning
- salary negotiations
- policy analysis
Key Concepts
Questions to Reflect On
- How does inflation affect your personal finances?
- What strategies protect bondholders?
Inflation can also hurt savers and increase cost of living.