The Rapid Increase of Inflation is Eating up our Wealth

Nena Arias | March 21, 2022

“For the love of money is a root of all kinds of evils.”
(1 Timothy 6:10)

Have you ever thought of money as just another commodity? Well, it is. So, just like any other commodity, the price of money can rise and fall; this depends on supply and demand. The name for the fall in the price of money is known as inflation. Inflation results from an increase in production costs or an increase in demand for products and services.

We are being told by the experts in finances that the rate of inflation is the highest it has ever been in the last 40 years. You can find more information if you just go to U.S. inflation calculator. This increase causes us to have to pay more for the products that we consume. Especially hard hit at this time is gasoline for our vehicles and our food supply. We are being told that soon we should be expecting to pay an increase of even up to $1,000 more a month for our groceries, not to mention the increase of prices all across the board.

Who profits from inflation? Some companies reap the rewards of inflation if they can charge more for their products. This increase can and does occur on nearly any product or service, including housing, food, medical care, and utilities as well as on automobiles and jewelry, etc.

The central banks of developed economies, including the Federal Reserve in the U.S., monitor inflation. The Fed has an inflation target of approximately 2% and adjusts monetary policy to combat inflation if prices rise too much or too quickly. Inflation causes your money saved less valuable tomorrow. Through inflation, our money has less and less purchasing power so it can eat up our wealth very quickly.

People worry about money. They are constantly thinking of ways to get more of it, and dream about how to spend it. But how much do we really know about the money in our economy? Money requires that we have a right attitude toward it. If we overprioritize it, it will hurt us. If we do not think enough about how to administer it wisely it will hurt us.

The Bible has a lot to say on how to have the right attitude about money and wealth. Who doesn’t need money, right? But it is vital to have the right attitude toward it that will be God-pleasing and advantageous to us. 1 Timothy 6:9-10 says, “Those who want to be rich,… fall into temptation and become ensnared by many foolish and harmful desires that plunge them into ruin and destruction. For the love of money is a root of all kinds of evils. It is through this craving that some have wandered away from the faith and pierced themselves with many pangs.” A craving is an inordinate desire (not within proper limits). It is a strong hunger and drive to acquire something.

In times past, the United States was able to keep the value of the dollar steady by doing two things, which was to purchase more gold and silver. With the gold standard keeping the value of the dollar steady and the silver policy greatly increasing the money supply, the government managed both to forbid inflation and to guarantee it at the same time.

The tragic part is that we went off of the gold standard in the 1970s and since then the worth of our money started to decline to the catastrophic inflation levels that we are now facing, due to our out-of-control spending and only printing money day and night—non-stop. We are simply creating “fiat money”, meaning worthless money. How long can we keep that up?

The federal government is doing just the opposite of what should be done to protect the value of our money. The U.S. inflation rate is at 7.9%, the highest since 1982 and prices are surging in all the basic needs like gas, food, and shelter.

Bottom line: if we only followed God’s beautiful instructions on how to work our finances, we would not be in this horrific predicament that shows no signs of stopping until it is too late.

Negligence and irresponsibility will always come back to bite us because ideas do have consequences. Negligence collects its dues.

An America without the Biblical worldview principles is not the original America that worked. I do not care what others may say and neither should you because they are wrong, and the Biblical worldview is right. God’s way defends all of life, liberties, the right to property, and progress, not only for our family but others as well. If you say you love God, but neglect His divine Commandments, you are being deceived and must face the consequences.

Solomon said, “There is a way that seems right to a man, but its end is the way to death” (Proverbs 14:12).

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