sepheronx wrote:Wheb you said they raised the prices, how much are we talking? And so you got your raise to meet inflation? Good! Waiting for my conpany to do that (they never met inflation).
Well I saw how a washing machine jumped in price by 35% in one day, that was a couple days after the rouble had its worst day since 1998.
It was 13,000 roubles and I planned to return the next day to buy it. By which time it was 17,000 or 18,000 roubles, I forget, which I learnt from the customer service employee talking to the woman in front of me who wanted to buy it, or any washing machine for a reasonable price actually. That was the clue really - there was a mass rush to buy appliances, electronics, cars, etc... anything with value that one might want over the next couple years or so - but that might suddenly cost a good deal more a few months later.
In the end I found the same washing machine for 14,000 in another store, so I lost no more than 1000 roubles - no big deal.
The bigger blow for me was the fridge that was on sale for 18,000, that I was going to order on the website but I decided to check some other ones out first and read some feedback. I got distracted and returned only 3 hours later; upon which time the discount had been cancelled and it was back up to 23,000.
I had to go with a cheaper model, which was inferior in a number of features/parameters, and was cheaper only by 1000 compared to the sale price of the other; I got it for 17,000. But I am glad to at least have gotten that - I think I remember checking the next day - that fridge had jumped in price too.
But to be honest that's not inflation pressure, rather it's just greedy electronics chains taking advantage of a panic rush. I would think that the prices have lowered from their heights by now, or will soon.
However the prices won't lower to their previous levels, because inflation whether we like it or not is taking place, and the prices of all things are rising. So who this affects - are the people who had substantial savings in their banks - now that money is just going to buy less, no way around it.
The people without large amounts of money saved up, and who weren't in the market for some home goods and so on - are mostly going to be affected by the price increases for staple goods; I'm talking about food mostly - potatoes, bread are what I've seen increasing; by maybe 30-35% over the last 6 months. I'm sure that other goods have increased too, if not by as much. Here the inflation has been driven by the sudden banning of European production - although other countries are rapidly filling the gap. We need another year of this ban, so that domestic producers can justify expanding their production and investing and other countries can get their supply lines up and working efficiently. So keeping tensions with Europe has it's up-sides you see
In terms of people's savings - I'm hoping that demand falls for property purchases. I don't know if this will happen or not, but theoretically, if it does, then property prices will lower and that will more than make up for people's savings otherwise devaluing.