**Today’s guest post is contributed by LearnVest**.
Which is the greater evil: inflation or deflation? Well, that depends who you are. Which one should we expect to see? Depends how it goes. The economy is full of vague answers and inaccurate predictions, but the general consensus supplies two relatively solid answers—yes, we’ll experience either inflation or deflation in the near future, and no, we shouldn’t restructure our portfolio in hopes of avoiding the fallout.
Risk Depends On Who You Are.
Jason Zweig of The Wall Street Journal reminds us that not only does an uncertain future generate confusion and queries, but also that the general patterns of inflation and deflation shouldn’t top your list of concerns. Instead, worry about what Zweig has named “meflation”; worry about which scenario would be more damaging to you. For instance, a 30-year-old with a risk-heavy investment portfolio and a secure job is more threatened by deflation, while a retiree should dread inflation. Those with mortgages are hurt by deflation, while those relying on government programs such as Social Security will suffer if inflation comes about.
Read the whole post and brush up on your economic know-how at Learnvest.
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