--- title: "Meaning & Key Takeaway of: We know that inflation distorts economic…" description: "\"We know that inflation distorts economic behavior. In the 1970s, a combination of high tax rates and inflation prompted investors to flee production in..." image: "https://sms4smile.com/quotes/i/c32/nina-easton-10426_1970s_we-know-that-inflation-distorts-economic_3037962.jpg" --- # We know that inflation distorts economic behavior. In the… ![“We know that inflation distorts economic behavior. In the 1970s, a combination of high tax rates and inflation prompted investors to flee production in favor of protection.” quote by Nina Easton](https://sms4smile.com/quotes/i/c32/nina-easton-10426_1970s_we-know-that-inflation-distorts-economic_3037962.jpg) [Download](https://sms4smile.com/quotes/i/c32/nina-easton-10426_1970s_we-know-that-inflation-distorts-economic_3037962.jpg) [Open image](https://sms4smile.com/quotes/i/c32/nina-easton-10426_1970s_we-know-that-inflation-distorts-economic_3037962.jpg) > “We know that inflation distorts economic behavior. In the 1970s, a combination of high tax rates and inflation prompted investors to flee production in favor of protection.” [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. High taxes and inflation in the 1970s drove investors to protect assets, showing how economic conditions alter behavior. **In simple terms:** Economic pressures change investor actions. Key Takeaway Understand how policy impacts markets. Themes economics inflation investment policy Mood analytical informative Type economic historical When to use this quote - financial planning - policy advocacy - historical study Key Concepts tax rates capital flight protective strategies Questions to Reflect On - How would you respond to similar conditions today? - What safeguards can mitigate such shifts? A Different Perspective Policy effects can be unpredictable. ★ ★ ★ ★ ★ No ratings yet [Behavior](https://sms4smile.com/quotes/about/behavior/) [Customer](https://sms4smile.com/quotes/about/customer/) [Habits](https://sms4smile.com/quotes/about/habits/) [Inflation](https://sms4smile.com/quotes/about/inflation/) [Investing](https://sms4smile.com/quotes/about/investing/) [Protection](https://sms4smile.com/quotes/about/protection/) ## Related quotes > [Our present tax system ... exerts too heavy a drag on growth ... It reduces the financial incentives for personal effort, investment, and risk-taking…](https://sms4smile.com/quotes/john-f-kennedy/our-present-tax-system-exerts-too-heavy-a-drag-on-growth-it-reduces/) [John F. Kennedy](https://sms4smile.com/quotes/author/john-f-kennedy/) > [A desire to rescue secular America from fallen grace has driven conservative evangelicals at least since the 1970s, when Jerry Falwell formed the Moral…](https://sms4smile.com/quotes/nina-easton/a-desire-to-rescue-secular-america-from-fallen-grace-has-driven/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [My family had been involved in gangs since the 1970s.](https://sms4smile.com/quotes/richard-cabral/my-family-had-been-involved-in-gangs-since-the-1970s/) [Richard Cabral](https://sms4smile.com/quotes/author/richard-cabral/) > [I don't really have a treasured possession, but I do love my family's proper old photo album. We all have hundreds of photos on…](https://sms4smile.com/quotes/nicola-walker/i-don-t-really-have-a-treasured-possession-but-i-do-love-my-family-s/) [Nicola Walker](https://sms4smile.com/quotes/author/nicola-walker/) > [When I was growing up in the projects in Philadelphia in the 1970s and 80s, Cadillac was the car to have. But I always…](https://sms4smile.com/quotes/dawn-staley/when-i-was-growing-up-in-the-projects-in-philadelphia-in-the-1970s/) [Dawn Staley](https://sms4smile.com/quotes/author/dawn-staley/) > [I have lived my whole life just outside Youngstown, Ohio. We watched the steel mills close and 50,000 jobs disappear in the late 1970s.…](https://sms4smile.com/quotes/tim-ryan/i-have-lived-my-whole-life-just-outside-youngstown-ohio-we-watched/) [Tim Ryan](https://sms4smile.com/quotes/author/tim-ryan/) > [All I know about 1970s New York City is that it's where I grew up, and you always have an umbilical connection to the…](https://sms4smile.com/quotes/luc-sante/all-i-know-about-1970s-new-york-city-is-that-it-s-where-i-grew-up-and/) [Luc Sante](https://sms4smile.com/quotes/author/luc-sante/) > [The whole idea of making 'James' was to make an action film in the style of the 1970s and '80s.](https://sms4smile.com/quotes/ram-gopal-varma/the-whole-idea-of-making-james-was-to-make-an-action-film-in-the/) [Ram Gopal Varma](https://sms4smile.com/quotes/author/ram-gopal-varma/) > [Wings was one of the first bands in the 1970s to do stadium tours, as well as Led Zeppelin. We had all the most…](https://sms4smile.com/quotes/denny-laine/wings-was-one-of-the-first-bands-in-the-1970s-to-do-stadium-tours-as/) [Denny Laine](https://sms4smile.com/quotes/author/denny-laine/) > [When I joined Ford, in the late 1970s, I felt strongly we could not forever be a huge user of natural resources without there…](https://sms4smile.com/quotes/anonymous/when-i-joined-ford-in-the-late-1970s-i-felt-strongly-we-could-not/) [Anonymous](https://sms4smile.com/quotes/author/anonymous/) > [Once, bit-fetching was the job mainly of children. In the 1970s, if I sat too long looking bored, I'd be dispatched to the shop…](https://sms4smile.com/quotes/grace-dent/once-bit-fetching-was-the-job-mainly-of-children-in-the-1970s-if-i/) [Grace Dent](https://sms4smile.com/quotes/author/grace-dent/) > [I'm a product of the 1970s.](https://sms4smile.com/quotes/steve-rushin/i-m-a-product-of-the-1970s/) [Steve Rushin](https://sms4smile.com/quotes/author/steve-rushin/) > [Back in the 1970s, it was mostly all-black audiences coming into the theaters. So, we presented stories they could relate to.](https://sms4smile.com/quotes/rudy-ray-moore/back-in-the-1970s-it-was-mostly-all-black-audiences-coming-into-the/) [Rudy Ray Moore](https://sms4smile.com/quotes/author/rudy-ray-moore/) > [The 1970s, the decade of my teenage years, was a transitional period in American youth culture.](https://sms4smile.com/quotes/eric-allin-cornell/the-1970s-the-decade-of-my-teenage-years-was-a-transitional-period-in/) [Eric Allin Cornell](https://sms4smile.com/quotes/author/eric-allin-cornell/) > [As someone who came to New York in the 1970s, I was, like so many of my friends, a certified member of what we…](https://sms4smile.com/quotes/graydon-carter/as-someone-who-came-to-new-york-in-the-1970s-i-was-like-so-many-of-my/) [Graydon Carter](https://sms4smile.com/quotes/author/graydon-carter/) ## More by Nina Easton > [In May 2007, congressional Democrats and the Bush administration agreed to a plan to include environmental and international labor standards in upcoming trade agreements.](https://sms4smile.com/quotes/nina-easton/in-may-2007-congressional-democrats-and-the-bush-administration/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [The longer people are unemployed, the less employable they become. Skills become rusty; managers look more suspiciously at someone who has been out of…](https://sms4smile.com/quotes/nina-easton/the-longer-people-are-unemployed-the-less-employable-they-become/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [Every journalist loves a peaceful protest -whether it makes news, shakes up a political season, or holds out the possibility of altering history.](https://sms4smile.com/quotes/nina-easton/every-journalist-loves-a-peaceful-protest-whether-it-makes-news/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [Our pride is tied up in being right. We tend to favor data that confirm our beliefs, so we don't see alternatives. Too often,…](https://sms4smile.com/quotes/nina-easton/our-pride-is-tied-up-in-being-right-we-tend-to-favor-data-that/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [Great leaders don't rush to blame. They instinctively look for solutions.](https://sms4smile.com/quotes/nina-easton/great-leaders-don-t-rush-to-blame-they-instinctively-look-for/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [A desire to rescue secular America from fallen grace has driven conservative evangelicals at least since the 1970s, when Jerry Falwell formed the Moral…](https://sms4smile.com/quotes/nina-easton/a-desire-to-rescue-secular-america-from-fallen-grace-has-driven/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [Jobless workers, especially those out of work for months and years, don't have the skills to multitask in a fast-paced economy where medical workers…](https://sms4smile.com/quotes/nina-easton/jobless-workers-especially-those-out-of-work-for-months-and-years-don/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [We know this much about how Barack Obama plans to govern: He will deploy the fattest checkbook ever at the disposal of an incoming…](https://sms4smile.com/quotes/nina-easton/we-know-this-much-about-how-barack-obama-plans-to-govern-he-will/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [Modern Americans - shaped by raucous politics and a rapacious media - like to think of themselves as experts in confronting mistakes.](https://sms4smile.com/quotes/nina-easton/modern-americans-shaped-by-raucous-politics-and-a-rapacious-media/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [Globalization is stirring widespread economic anxiety, and middle class incomes have stagnated while a class of super-rich has emerged.](https://sms4smile.com/quotes/nina-easton/globalization-is-stirring-widespread-economic-anxiety-and-middle/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > ['George' exploits John Kennedy Jr.'s cult of celebrity at a time when Americans are hungry for icons, not heroes.](https://sms4smile.com/quotes/nina-easton/george-exploits-john-kennedy-jr-s-cult-of-celebrity-at-a-time-when/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [Fame legitimizes. Being conspicuous gets confused with being illustrious.](https://sms4smile.com/quotes/nina-easton/fame-legitimizes-being-conspicuous-gets-confused-with-being/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [I've been awed by the incredible opportunities that automatically float to the Harvard undergrads I once taught - from building homes for the poor…](https://sms4smile.com/quotes/nina-easton/i-ve-been-awed-by-the-incredible-opportunities-that-automatically/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [Trying to decipher where President Obama really stands on free trade can be like trying to trace the U.S.-Mexico border with a Google map.…](https://sms4smile.com/quotes/nina-easton/trying-to-decipher-where-president-obama-really-stands-on-free-trade/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) > [A huge segment of the country has always felt overtaxed. In 1938, when taxes were roughly 17% of income, a 'Fortune' survey found that…](https://sms4smile.com/quotes/nina-easton/a-huge-segment-of-the-country-has-always-felt-overtaxed-in-1938-when/) [Nina Easton](https://sms4smile.com/quotes/author/nina-easton/) [Explore all 65 Nina Easton quotes ](https://sms4smile.com/quotes/author/nina-easton/) ## More 1970s quotes > [As someone who came to New York in the 1970s, I was, like so many of my friends, a certified member of what we…](https://sms4smile.com/quotes/graydon-carter/as-someone-who-came-to-new-york-in-the-1970s-i-was-like-so-many-of-my/) [Graydon Carter](https://sms4smile.com/quotes/author/graydon-carter/) > [The 1970s, the decade of my teenage years, was a transitional period in American youth culture.](https://sms4smile.com/quotes/eric-allin-cornell/the-1970s-the-decade-of-my-teenage-years-was-a-transitional-period-in/) [Eric Allin Cornell](https://sms4smile.com/quotes/author/eric-allin-cornell/) > [Back in the 1970s, it was mostly all-black audiences coming into the theaters. So, we presented stories they could relate to.](https://sms4smile.com/quotes/rudy-ray-moore/back-in-the-1970s-it-was-mostly-all-black-audiences-coming-into-the/) [Rudy Ray Moore](https://sms4smile.com/quotes/author/rudy-ray-moore/) > [I'm a product of the 1970s.](https://sms4smile.com/quotes/steve-rushin/i-m-a-product-of-the-1970s/) [Steve Rushin](https://sms4smile.com/quotes/author/steve-rushin/) > [Once, bit-fetching was the job mainly of children. In the 1970s, if I sat too long looking bored, I'd be dispatched to the shop…](https://sms4smile.com/quotes/grace-dent/once-bit-fetching-was-the-job-mainly-of-children-in-the-1970s-if-i/) [Grace Dent](https://sms4smile.com/quotes/author/grace-dent/) > [When I joined Ford, in the late 1970s, I felt strongly we could not forever be a huge user of natural resources without there…](https://sms4smile.com/quotes/anonymous/when-i-joined-ford-in-the-late-1970s-i-felt-strongly-we-could-not/) [Anonymous](https://sms4smile.com/quotes/author/anonymous/) > [Wings was one of the first bands in the 1970s to do stadium tours, as well as Led Zeppelin. We had all the most…](https://sms4smile.com/quotes/denny-laine/wings-was-one-of-the-first-bands-in-the-1970s-to-do-stadium-tours-as/) [Denny Laine](https://sms4smile.com/quotes/author/denny-laine/) > [The whole idea of making 'James' was to make an action film in the style of the 1970s and '80s.](https://sms4smile.com/quotes/ram-gopal-varma/the-whole-idea-of-making-james-was-to-make-an-action-film-in-the/) [Ram Gopal Varma](https://sms4smile.com/quotes/author/ram-gopal-varma/) > [All I know about 1970s New York City is that it's where I grew up, and you always have an umbilical connection to the…](https://sms4smile.com/quotes/luc-sante/all-i-know-about-1970s-new-york-city-is-that-it-s-where-i-grew-up-and/) [Luc Sante](https://sms4smile.com/quotes/author/luc-sante/) > [I have lived my whole life just outside Youngstown, Ohio. We watched the steel mills close and 50,000 jobs disappear in the late 1970s.…](https://sms4smile.com/quotes/tim-ryan/i-have-lived-my-whole-life-just-outside-youngstown-ohio-we-watched/) [Tim Ryan](https://sms4smile.com/quotes/author/tim-ryan/) > [When I was growing up in the projects in Philadelphia in the 1970s and 80s, Cadillac was the car to have. But I always…](https://sms4smile.com/quotes/dawn-staley/when-i-was-growing-up-in-the-projects-in-philadelphia-in-the-1970s/) [Dawn Staley](https://sms4smile.com/quotes/author/dawn-staley/) > [I don't really have a treasured possession, but I do love my family's proper old photo album. We all have hundreds of photos on…](https://sms4smile.com/quotes/nicola-walker/i-don-t-really-have-a-treasured-possession-but-i-do-love-my-family-s/) [Nicola Walker](https://sms4smile.com/quotes/author/nicola-walker/) > [My family had been involved in gangs since the 1970s.](https://sms4smile.com/quotes/richard-cabral/my-family-had-been-involved-in-gangs-since-the-1970s/) [Richard Cabral](https://sms4smile.com/quotes/author/richard-cabral/) > [When I was in high school in the early 1970s, we knew we were running out of oil; we knew that easy sources were…](https://sms4smile.com/quotes/carl-safina/when-i-was-in-high-school-in-the-early-1970s-we-knew-we-were-running/) [Carl Safina](https://sms4smile.com/quotes/author/carl-safina/) > [When I was younger, I remember families like mine who had to deal with the disastrous policies of the 1970s.](https://sms4smile.com/quotes/andrew-scheer/when-i-was-younger-i-remember-families-like-mine-who-had-to-deal-with/) [Andrew Scheer](https://sms4smile.com/quotes/author/andrew-scheer/) Browse all 189 1970s quotes ```json { "@context": "https://schema.org", "@graph": [ { "@type": "Quotation", "text": "We know that inflation distorts economic behavior. In the 1970s, a combination of high tax rates and inflation prompted investors to flee production in favor of protection.", "creator": { "@type": "Person", "name": "Nina Easton" }, "isPartOf": { "@id": "https://sms4smile.com/quotes/#website" }, "url": "https://sms4smile.com/quotes/nina-easton/we-know-that-inflation-distorts-economic-behavior-in-the-1970s-a/", "about": { "@type": "Thing", "name": "1970s" }, "@id": "https://sms4smile.com/quotes/nina-easton/we-know-that-inflation-distorts-economic-behavior-in-the-1970s-a/#quotation", "image": { "@type": "ImageObject", "@id": "https://sms4smile.com/quotes/i/c32/nina-easton-10426_1970s_we-know-that-inflation-distorts-economic_3037962.jpg", "contentUrl": "https://sms4smile.com/quotes/i/c32/nina-easton-10426_1970s_we-know-that-inflation-distorts-economic_3037962.jpg", "url": "https://sms4smile.com/quotes/i/c32/nina-easton-10426_1970s_we-know-that-inflation-distorts-economic_3037962.jpg", "width": 1080, "height": 1080, "caption": "“We know that inflation distorts economic behavior. In the 1970s, a combination of high tax rates and…” — Nina Easton", "creditText": "SMS4Smile Quotes", "creator": { "@id": "https://sms4smile.com/quotes/#organization" } } }, { "@type": "BreadcrumbList", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://sms4smile.com/" }, { "@type": "ListItem", "position": 2, "name": "Quotes", "item": "https://sms4smile.com/quotes/" }, { "@type": "ListItem", "position": 3, "name": "Nina Easton", "item": "https://sms4smile.com/quotes/author/nina-easton/" }, { "@type": "ListItem", "position": 4, "name": "We know that inflation distorts economic...", "item": "https://sms4smile.com/quotes/nina-easton/we-know-that-inflation-distorts-economic-behavior-in-the-1970s-a/" } ], "@id": "https://sms4smile.com/quotes/nina-easton/we-know-that-inflation-distorts-economic-behavior-in-the-1970s-a/#breadcrumb" }, { "@type": "WebSite", "@id": "https://sms4smile.com/quotes/#website", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "publisher": { "@id": "https://sms4smile.com/quotes/#organization" } }, { "@type": "Organization", "@id": "https://sms4smile.com/quotes/#organization", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "logo": { "@type": "ImageObject", "url": "https://sms4smile.com/quotes/wp-content/themes/sq/assets/icons/icon-512.png", "width": 512, "height": 512 } } ] } ```