People don't understand inflation, even some investors

[Marcus Auerbach]

I heard this notion 3 times in the last couple days: going to wait and safe my money until inflation is over and prices come down again, one of them a fellow investor!! 

It seems to me that people think inflation is basically price increases and when inflation comes down to again, the price increases will basically reverse to where they were before, because inflation is just temporary he said. 

I can see how the evening news are pushing this believe when they talk abour rising prices, instead of the devaluation of the currency, which is permanent. We would need negative inflation to go back to pre-inflation price levels.

Looking at a long term inflation chart and the time periods it took for inflation to rise, peak and fall I am thinking this could take a while - maybe another year or two to reach peak and then start to reverse. Home prices will probably do the same, just because the dollar bills are getting smaller.