Inflation Made the Rich Richer But Hit the Poor Hardest, Study Finds

Inflation acts as a "hidden tax" that reduces purchasing power, according to economist Milton Friedman.

However, new research finds inflation has actually made the middle class and top 1% richer between 1983-2019 by boosting asset values.

The "inflation tax" hits the poor and lower-middle class the hardest as their incomes fail to keep up with rising prices.

The middle class saw big gains from inflation reducing their mortgage burdens and boosting home values.

The researcher proposes an "inflation tax credit" to offset the impact on lower-income families.