Pandemics, wars, excessive currency printing and many other things can make the economic crisis worse and continue to occur in a sustainable manner. Surges in the prices of basic necessities, scarcity of gas and oil or other energy resources are also other triggers that usually occur as a result of the impact of a conflict or war between countries. as happened in Russia vs Ukraine. And maybe people also forget that the scarcity of fuel oil and so on is not only caused by war but because there is a policy by a country that imposes economic sanctions on a country. or also because of the failure to establish cooperation between one country and another or something like that.
When all that happened, it was not easy for anyone to avoid the economic crisis. but regarding inflation actually all of that is more about the post-pandemic impact. like because a country prints currency to avoid a recession that occurs during a pandemic due to people being restricted in their activities due to quarantine to avoid spreading the virus. So people started to lose their livelihood which made it difficult for them to make money. so that the government distributes financial assistance to the public to spend. this is done so that the economic cycle continues and does not experience a stalemate that can lead to a recession.
However, after the pandemic was over, it turned out that there was too much money circulating in the community and caused the value of the currency itself to decline and inflation occurred because prices were also driven up due to various reasons. either because of higher demand from consumers and limited production stocks that can be sold by producers. because we know when a pandemic occurred many factories stopped operating. so do not be surprised if when the pandemic is over, the needs of people who have returned to increase are difficult to fulfill because not all of the factories that were closed have reopened.
Well, you've struck a chord! Inflation's become an uninvited squatter in our global financial backyard, with price tags doing the cha-cha and wages doing the limbo. This suffocating squeeze is being jazzed up by geopolitical tiffs and the 'musical chairs' situation of our supply chains - especially for VIPs like oil and gas. As a tech junkie with a knack for number-crunching, Bitcoin and its crypto-buddies seem like a light at the end of this tunnel.
Ponder this - these digital darlings aren't puppeteered by Uncle Sam or any of his global counterparts, making them potentially immune to the flu of inflation. Caveat - crypto is a wild roller-coaster ride with plenty of loops, so buckle up! But remember, a rainbow of investments may be the way forward, and crypto is one color in that spectrum.
Covid-crashed economies, money printers on overdrive, more moolah chasing fewer goodies - welcome to the Inflation Olympics! As we nurse economies back to health, brainstorming savvy strategies to kick this inflation menace in the pants is key, perhaps with a pinch of tight-fisted monetary policies and a dollop of tech wizardry.
And in the improvements that are being made by each country and the central bank, such as by raising interest rates and hoping to withdraw little by little the excess that has already spread to the public. So. In fact, this step has now proven to be quite effective. although it turns out that this has also triggered another enemy in a country's economy that is just as important to avoid, namely a recession. and the solution that the Central Bank and countries experiencing a recession have, of course, is to reduce the interest rate that they originally raised again. And hope to get people to withdraw their money again and start spending quite actively.
But right now what I've noticed is that people's awareness of saving money and making preparations for the long term and for reserve funds has increased tremendously. So that saving and investing now seems to have become a common and important conversation that is currently becoming a hot conversation in the community.
Public awareness in investing has also grown quite rapidly. I'm afraid they have a high interest in investing but they lack knowledge of where to invest safely for them. Crypto, especially bitcoin, is actually quite safe, even though it also carries a high risk due to its high volatility. It's just that if it's for the long term then at least inflation can't do much to touch Bitcoin. It's just that to invest in bitcoin, beginners also have to know and study it first before finally deciding.