When there is no winning move, it definitely feels like a recession.
That is the interesting thing, yes all assets are falling in value, but wages are rising. Its bringing back equality after years where hoarding assets was a great move.
It does seem possible that a growing economy creates greater differences, as not everyone can succeed to the same degree, whereas a shrinking economy levels the playing field.
Many people I know who are getting paid in USD have been rubbing it in quite hard lately, honestly I'm happy for them but it's also kind of unfair their mortgages have been greatly reduced while mine hasn't changed at all.
There is always a silver lining...
* You can sell early but you might take a hit.
Outside the US it's worse because of the strong dollar.
You are losing in real terms but not nominal
But this depends on your consumer preferences and cost of living. You are only losing 7%/year in CPI is your expenses are concentrated in food, energy , or used cars.
High inflation is tough because it means everyone loses in real terms. Nowhere to hide.
(not investing advice, educational purposes only)
In a stagflation scenario though, wouldn’t paying down debt on any vehicle carrying a rate over what you can yield on the market still net out better for you overall?
1. Family 2. Tax return 3. LLC
However each person can only redeem/cash out 1/4th each year. So it’ll take 2 years to cash it out.