I don’t know very much about economics. I studied micro and
macro economics in college but it was a simple middle school text book Whatever Happened to Penny Candy by
Richard J. Maybury that has caused me to think differently about inflation. Everyone
knows by experience that their dollars don’t stretch as far as they used to. I
used to think that rising prices are inflation. Gas cost a $1.15 / gallon when
I started driving 20 years ago and this past Labor Day weekend I spent $3.55 /
gallon. But Maybury writes, “Rising prices are not inflation. They are a result of inflation.” (emphasis mine)
What then is inflation? He argues that inflation is an increase in the number
of dollars. Maybury says that “money responds to the law of supply and demand
just as everything else does. As the number of dollars increases, the value of
each individual dollar falls. Prices rise to make up for this fall.” I’ve read
enough to know that not every economist agrees with Mr. Maybury’s definitions.
I’m pretty ignorant about all this, but his logic makes sense to me.
Regardless
of all the causes & definitions of terms, I’ve lived long enough in America to be
trained to expect that my money will be worth less in the future than it is
today. That presents me with a challenge: What does a person invest in that
will retain its value over time? Stuffing greenbacks in a mattress or
depositing it in a CD that yields a flea’s hair more than 0% doesn’t seem
prudent. Stocks? Real estate? Camels? Continued Education? Everything has risk
attached to it. Bubbles could pop at any time.
We live in
a world of uncertainty. How then should we invest? Is there an inflation-proof
investment? Jesus said,
ESV Matthew 6:19-21 "Do
not lay up for yourselves treasures on earth, where moth and rust1 destroy
and where thieves break in and steal, 20 but lay up for yourselves
treasures in heaven, where neither moth nor rust destroys and where thieves do
not break in and steal. 21 For where your treasure is, there your
heart will be also.”
A superficial pastor would say, “See, you should invest your
money in the Church. That is the best use of your resources!” Perhaps. But I do
not think that Jesus was so much giving financial advice on where to put our
dollars. Rather, Jesus is giving us 1) a recalibration of our priorities and 2)
hope in an uncertain world.
The bottom
line is that there are no guaranteed investments. Nothing in this life that is
impervious to thieves, rust and moths. Even a congregation can waste resources
in the name of God. There is only one sure thing, one inflation proof
investment: the Lord Jesus Christ. Give to Christ all that you have – including
your investments, possessions & plans. Trust Him with your future. Trust
Him with your resources. Put your confidence and hope in Him.
No comments:
Post a Comment