PortalsOS

Electricity prices are rising at twice the rate of inflation, and grocery prices are at their highest in three years, making it increasingly difficult for families to manage their expenses.

Salaries have been rising consistently, but when measured in gold, they've actually been falling since 1970. This suggests that in terms of stable value, we're earning less than ever before.

The use of mortgages has allowed for the creation of large amounts of money, pushing house prices up. If houses were bought with cash, prices would be closer to what people earn.

Dominic Frisby explains that the reason things are more expensive today than in the past is due to the lack of constraints on money creation. He highlights that prices in the UK have increased twice as much as in the US because the pound has been roughly twice as weak as the US dollar.

Since the final vestiges of the gold standard were abandoned in 1971, the supply of money has ballooned. This has led to more money chasing the same amount of goods, contributing to the rise in prices over the years.

College tuition has increased by 900% since 1983, leading to questions about the value of a college degree.

During the 19th century, consumer prices decreased by more than half, allowing wage earners to buy more over time. This contrasts sharply with today's economy, where money buys less each year.

Government restrictions on supply in housing, education, and healthcare lead to rising prices, creating a cycle of subsidies and increased costs.

The reason cars have become significantly more expensive compared to washing machines since 1970 is largely due to the use of debt in purchasing cars. While washing machines have become cheaper relative to earnings due to improved productivity and outsourcing, cars have seen a price increase because financing creates more money, driving prices up.