Money Word:Money Word:
INFLATION: increase in the cost of everything, from cars and houses toburgers and fries.INFLATION: increase in the cost of everything, from cars and houses toburgers and fries.
That means in ten years, $600 won’t buy nearly as much stuff as it willnow. In 1960, a kid with a quarter could buy a slice of pizza for 15 centsand a Coke for 10 cents. Today, you’d need at least $2 to buy the samemeal! In 1960, a kid could use $7 to buy a really cool pair of tennisshoes. Today, you could use that $7 to buy some cool tennis shoelaces. In 1960, the average income per person in this country was$2,219 per year. In the year 2000, the average income per person was$29,676. That means in ten years, $600 won’t buy nearly as much stuff as it willnow. In 1960, a kid with a quarter could buy a slice of pizza for 15 centsand a Coke for 10 cents. Today, you’d need at least $2 to buy the samemeal! In 1960, a kid could use $7 to buy a really cool pair of tennisshoes. Today, you could use that $7 to buy some cool tennis shoelaces. In 1960, the average income per person in this country was$2,219 per year. In the year 2000, the average income per person was$29,676.
There is another reason why people usually don’t keep their money athome. If you have a lot of money, it gets a little hard to find places for itall. There is another reason why people usually don’t keep their money athome. If you have a lot of money, it gets a little hard to find places for itall.
Our government does print money in higher denominations thathundred-dollar bills, but those bills are not used by the general public. Our government does print money in higher denominations thathundred-dollar bills, but those bills are not used by the general public.
There are many ways you can save your money so that the amount youput in actually grows, even if you don’t add a cent more. When you dothat, you are making your money earn money for you. You are aninvestor. There are many ways you can save your money so that the amount youput in actually grows, even if you don’t add a cent more. When you dothat, you are making your money earn money for you. You are aninvestor.