I've chosen an image by Escher for today's post because I hope it will provide you with a different way of looking at something, namely inflation. Inflation is most often defined as the rise in price of goods and services over time. However, its less often quoted meaning is the loss of value of the currency . It's this second meaning that is more representative of what inflation truly is. I strongly believe the first definition is misleading, perhaps deliberately so, as we shall see. We have become so accustomed to living in a society that uses money that we often take its units of measurement, be they Pounds, Dollars or Euros, as fixed, much like distances like metres and weights like kilograms. In reality, they are units of exchange and are thus subject to the laws of supply and demand. Think back to a time before money. Perhaps a wheat farmer wanted some meat for his meal. He might exchange a bushel of wheat in the local town for a pig. One year, pork is partic