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...ny day; I don’t know whether young people are even familiar with that expression anymore. Well what happens on a rainy day? Well there is a safety net a whole welfare system of constructing a safety net. On a rainy day you just fall into the net you don’t need to provide for yourself anymore the government will pick it up. Again the personal motive is destroyed or at least is seriously undermined by the whole welfare system, and in the case of the safety net there is not even the pretence of safety. Reduce the amount people want to save - inflation is great for this. Inflation reduces the real return on savings. The reward you get for savings is the interest that you are paid if you invest a $1000 dollars at 5% interest at the end of the year you will have $1050; that $50 dollars is your reward for saving, for making those funds available for productive purposes. What if the inflation rate is also 5%? If the inflation rate is 5%; then, at the end of that year you will need $1050 to buy what you could have of bought at the beginning of the year with a $1000. So the 5% interest return in real terms is 0% you need a $1050 to purchase the same amount you could buy with a $1000 at the beginning of the year. If the interest rate and the savings rate are the same percentage you are making no interest. Without real interest your money is just retaining its value. What happens if the inflation rate goes above th...