Back to articles

The Myth of the Unquestionable '2% Inflation'

Everyone is taught that 2% inflation is some how admirable and good for the economy, but when you apply even the slightest amount of critical thinking, you quickly realize this is absurd.

The Myth of “Healthy” Inflation

Every economics professor, every central banker, every talking head repeats the same mantra:
“Two percent inflation is healthy.”

Healthy for who, exactly?

It’s presented as the sign of a strong, growing economy. Yet when you strip away the jargon, what they’re really saying is:
“The sign of a growing economy is that goods and services become harder to afford over time.”

That’s not growth — that’s decline.

The Treadmill Economy

Think of inflation like a treadmill. Every year it speeds up by 2%. You’re told to cheer because you’re “running faster.” But you’re only running faster because you’re forced to — and it’s getting harder to keep up.

It’s insane how they’ve managed to convince the public that “growth and prosperity” should be measured by abstract numbers, while in real life it feels like things keep getting harder.

If inflation equals progress, why does progress feel like falling behind?

Who Inflation Really Serves

Inflation isn’t neutral. It’s tilted to benefit a very specific group:

  • Governments love it, because it shrinks the real burden of their debt.
  • Banks thrive on it, because it forces more borrowing just to keep pace.
  • Corporations enjoy it, because rising prices pad their revenue sheets.

For workers and savers, though, it’s the opposite. Inflation is a hidden tax you never voted for.
Your paycheck buys less. Your savings decay. And the system dares to call this “healthy.”

Why They Fear Deflation

If inflation is their ally, deflation is their nightmare. Falling prices are treated like an existential threat.

Threat to who, exactly?

For ordinary citizens, cheaper goods and services are the very definition of progress.
Your paycheck stretches further. Saving becomes worthwhile. Innovation translates into abundance.

Real growth is when life gets better and more affordable — not worse and more expensive.

For governments, banks, and debtors, though, deflation flips the script. Debt grows heavier. Revenues shrink. Control slips.

That’s why they fight falling prices like the plague — not because it would hurt you, but because it would help you, and hurt them.

The Numbers Game

Even the way inflation is measured is rigged. The “basket” of goods changes constantly. The math shifts. Definitions get revised.
Always with one goal: to hit that golden number of 2%.

But think about it:

  • If inflation is so good, why stop at 2%?
  • Why not 3%, 5%, or 10%?
  • As long as it’s “stable,” wouldn’t it serve the same purpose?

And if inflation is actually bad, then why tolerate any at all?

The truth is, 2% is an arbitrary number. And anything above 0% inflation is bad for savers and workers.

Inflation as Control

Inflation isn’t a sign of prosperity. It’s a system of control.

It keeps workers running in place, savers punished, and citizens dependent.
The treadmill keeps speeding up — and we’re told to call it progress.

Redefining Growth

The truth is simple:

  • Inflation works for governments, banks, and debtors.
  • Deflation works for workers, savers, and citizens.

Real growth shouldn’t mean life getting harder.
Real growth means abundance. More for less. Progress that you can actually feel.

So yes, two percent inflation “works.” Just not for you.
And they depend on you buying into the illusion that it does.