Inflation is rising, is the rate of inflation too? What is the difference? These terms have recently appeared frequently in connection with everyday life. But many do not know what they mean.
Inflation has been eating away at the purchasing power of people in Germany for months – but around a quarter of the population does not know what inflation actually is. This is the result of a representative survey commissioned by the Association of German Banks (BdB).
According to their own statements, 45 percent of the 16 to 24 age group do not even know what inflation means, and just under a quarter (23 percent) of this age group was able to at least roughly name the current inflation rate in Germany.
So what is the current rate of inflation?
Increasing energy and food prices have been making life in Germany significantly more expensive for months. According to calculations by the Federal Statistical Office, consumer prices in August were 7.9 percent higher than in the same month last year. Economists expect double-digit inflation rates in the coming months.
The high level of general inflation is causing the real income of private households and their savings to melt away and reducing purchasing power. People can therefore afford less for one euro.
A clear majority of 82 percent of those questioned in the BdB survey spoke out in favor of giving greater importance to the teaching of economic relationships in school: dealing with money, the economic system, possibilities for old-age provision, possibilities for investing.
For many respondents, ETFs, investment funds and the like are bohemian villages. More than half (54 percent) admitted they had no idea what was happening in the stock market.
Source: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
