Planet Money Summer School 4

Inflation can be one of the scariest forces in the economy: Prices rising all around you, decisions grow more confusing, your dollar doesn't go as far, you feel poorer, and it's all out of your control.

We got you.

Inflation is when there is too much money in an economy chasing too free goods and services, and it drives up prices in general. Inflation also undermines our collective confidence in the economy as a whole. When the value of our money is uncertain, it makes our behavior just as uncertain.

For this week's class, we travel to a time and a place where we can see how inflation works crystal clear. We also get to watch what didn't work to stop it, and what eventually did with lessons for today. We go to Brazil, where a decade long bout of hyperinflation threatened to derail one of the largest economies in the world. In their time of great need, the country turned to a band of unlikely heroes: four drinking buddies.

We Cover:

Inflation and hyperinflation

Money printing/money supply

Wage-Price Spiral

Econ songs of summer: Every week, we pick a few of our favorites and add them to our playlist. Recommend your favorite on social media. Make sure to use #PMSummerschool.

Transcript：
https://www.npr.org/transcripts/1115430369