A candy bar that might have cost $0.10 back in the day now could cost you over $1.00. Why? As inflation increases, your money buys you less.
Inflation, which occurs when the price of products and services increases as the purchasing power of currency falls, is a thermometer economists often use to check an economy's temperature.
Too low? Bad. Too high? Also bad.
The eroding power of inflation on cash is one of the most compelling reasons you should seriously consider investing in assets that can be expected to return more than the rate of inflation.
You don't want to end up like that guy who traded a wheelbarrow full of his life's savings for a cup of coffee, do you? Oh, you're already doing that every morning? Carry on, then.