the idea with the second statement is: the cost of bringing innovation to a market where inflation is higher makes it easier to pay back to cost of the innovation. ie. you pay your salaries at index 100 and get to sell them at a higher index.
Re:Why the 2% Inflation Target? (2023)
by SubjectToChange on Friday March 22, 2024 @05:31PM
(#39795069)
Housing costs wouldn’t be on anyone’s radar if they simply grew with inflation.
they don't, they have the interest rate as a coefficient.
interest rates have reduced signitifanctly over the past 30 years.
also, remember that housing is not your San Fransisco condos. it is also the town house at some rural village.
Additionally I can’t follow your second thought: are you saying that the inflation rate is directly correlated with the rate of the value of innovation dispersement? E.g. a high inflation should eventually lead to a high dispersion of innovations/a more innovative culture?