Sunday, June 27, 2010

70法则计算通货膨胀影响 (Rule of 70 calculate the Impact of Inflation)


比如通货膨胀率为3.5%,用70除以3.5 = 20年。如果是$100,20年后会貶值为$50。


Rule of 70 to calculate the impact of inflation, which measures how many years it takes for your money's buying power to half.

If the inflation rate is 3.5%, it takes about 70/3,5 = 20 years for $100 to become $50.

2 ways to protect yourself against inflation:

1) Working harder to increase your income
2) Make your money work harder for you

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