Synopsis
While inflation causes the cost of borrowed money to decrease over time (in real terms), it also causes the value of invested capital to decrease over time (again in real terms). This article briefly discusses the phenomenon and investigates how these two competing forces interact and whether inflation is indeed better or worse for leveraged investments.
Special Offers
- Citibank Ready Credit
- Have the freedom to buy what you want. Apply online today. Low introductory rate of 2.9% for 6 months†. No application or setup fees, ATM/EFTPOS transaction fees#. Flexible spend - borrow from $5,000 - $25,000^ Apply Now
- American Express Blue Sky Credit Card
- Introducing the NEW Blue Sky Credit Card from American Express. Offering 50% OFF Blue Sky Flights until 2010 plus complimentary Domestic and International travel insurance. Apply Now!
- MediLend
- Finance Solutions for Health Care Professionals. With a complete and experienced team of people, MediLend offers the healthcare professional a complete service. We offer a full range of medical finance products & services for complex investment and tax structures. Our products and services are available for all healthcare professionals. Enquire Now!
|
