In this article, I will be talking about the topic of inflation. how we can calculate when is it appropriate to keep money in cash or invest it into an asset. The reason for this, in particular, is because if you have more than one bank account, it is possible that your accounts may have different amounts of cash available and we don’t know which bank has more cash in them. Also, there may be some banks set up so that they can check bank balances online. There could be a situation where you have been sent to a branch to get your balance checked by a banker or you could also go home without getting checked by a banker but they only give you the bill and not the cash. If you are at a hotel room or accommodation there is usually lots of security and they do some checking and balances on their computers on their way into making a payment. We will get to you later when we talk about investment decisions as well. Let’s start with the basics.

I will be talking about everything from what we can think about as ‘inflation’ to what the data is telling us about the prices. Then finally, I will be going over why we should invest our money into something at this point. First of all, this is a short video I didn’t want to make because I am too busy writing (and hopefully that will change). Now, I will start off by saying that we all know we want to get away from oil prices and gas prices. I know that may seem like a strange thing to say about oil prices and gas prices as it is not very common knowledge and I should be able to tell you from experience if it was even knowable in today’s world. As it is, however, most people know the idea of getting away from oil prices and gas prices, that is why in my previous videos I talked about buying an old bike at 25p and then buying a second one at 12p and then selling them for 20p. But, because we were getting closer to those prices, we could buy an old bicycle instead and sell it for a profit of 40p. So, it seems logical that people would want to buy an old bicycle at 5p and then sell it for 10p if it means they get away from oil prices and gas prices because we don’t buy more expensive equipment to spend money on at higher prices and this is a good problem to raise because if people do that, then most of what we buy that we might not need is there and if we don’t need anything at all then there will be little left with which we can use to purchase more expensive products. I also think, though, that people are afraid to pay exorbitant fees that they see on television, TV adverts, etc. and this is partly why we are going to talk a bit about savings too.

As you can see, now that I’ve gone through the basics of inflation and how we can work out when it is appropriate to put money away in cash or invest it into an asset, I will move on to the next part of my video. This is the part where I am going to explain what we mean by the term ‘inflation’. You can find me on Instagram @brianfletcheruk and on Twitter using @wilkinson_twarke. And you can also find me online at as well. But let me just start with a quick disclaimer before I go any further with things. When I write about inflation, I’m talking about prices rising steadily over time because at first, we have no idea how many times prices will increase and it could take years before or possibly decades before price increases are known. The only reason things are going to rise in the past is that the economy started booming and most people had incomes of less than ¬£20,000 and then when they went back to normal some people were out of jobs which made spending more expensive and the demand for cheaper goods increased too. That led to a boom in people paying the lower-end prices, while still being able to afford the other expensive items as well. At first, prices weren’t going to come up again until the housing market took off and the new houses were bought, and then during the period when wages continued to raise the value of the money we paid for them and the cost of living also went up because that meant that many people would be unable to live with their families on the cheapest terms they could at the beginning. These were called ‘high cost of living so if you lived a decent life you could afford to buy the new stuff and the house prices would go up again until the housing went up and then when interest rates came down again, the houses, in particular, were more expensive.

I can say with confidence that inflation is around 2p because if I’m working out the rate of inflation, it’s likely going to be somewhere between 1p and 3p. I am going to say two because otherwise, if in the future, when all these houses go up, we’ll be paying much more money for mortgages and the houses will need more money, which means we will raise prices and then they will come down further and so inflation will rise again until some kind of equilibrium is reached or whatever. I will now finish by saying that we should always try and reduce this inflation to 0p because although it may seem like the opposite, keeping money in cash and investing it in an asset works better than keeping it in cash and investing it in an asset. However, that does not mean we should stop investing because the benefits outweigh the risks but to stay invested you should look for some sort of exit strategy so that you get paid more back and more income even if it doesn’t happen as fast as you expected and you don’t have to worry about losing the assets you invested. I hope this helps! Well, that is all for now! Thanks for joining me.

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