In general we note that inflation:

Question

Quizplus · Accepted Answer

Inflation has very real costs associated with it, as it can reduce the value of savings and investments, distort economic decision-making, and create uncertainty and instability in the economy. It may also disproportionately harm those with fixed incomes or limited access to credit. However, the effects of inflation are not evenly distributed across the economy, as some groups (such as borrowers) may benefit from it while others (such as lenders) may be harmed. Inflation can also have different impacts depending on the overall health and structure of the economy.

In General We Note That Inflation