Today I realized that there were at least 2 things that has increased in cost in the last few years. One thing that I can say confidently is the real estate value and another thing that I'm able to see is the price of some goods that we regularly purchase.
Inflation is something that will not be visible to our eyes but we will know it only when we see the value of some of the basic amenities increase. For example, if the value of gold increases we cannot say it is inflation but if the value of our food increases then it can be the effect of inflation.
Real estate value
Two years back the price of a flat near my house was 6100 Rs per sq. ft. Which is close to 80 dollars but today the price of a new flat costs around 100 dollars within just one year. I know for a fact that the value keeps increasing as there is a demand all the time. People go for additional investments or people would like to buy a new house for themselves. This has been the case in the last few years. Many plot owners are now demolishing their houses and converting them to a flat system so that they can accommodate about 6 to 8 hours in a plot than just having one or two houses.
This system has started increasing here and the biggest surprise is that whatever be the price, there are people who are ready to purchase it. The government should consider increasing the city limits here because that is what is happening. Rural areas are now being urbanized with good schools, universities, and medical facilities which is the basic need for anyone willing to move here. People hate staying rural because they don't have these facilities. There are also people from other states moving here because the facilities are better. The government should consider about creating more such Cities instead of using the existing metro cities for development.
The biggest problem here is that because of all these developments, it is getting very costly to live here. For people who own properties already here might have an upper hand but for people who are just getting started here may not find it easier.
Increased value of goods
I visited a motorbike showroom with one of my friends today as he was looking to purchase a bike for his family. To my surprise, the cost of the vehicle was 2 times the cost it used to be a few years back. I was surprised. It is not just this vehicle but I was able to see all the vehicles have the same thing. Their price is elevated by so much.
We used to get decent food for about half a dollar but today we have to pay 1.5 dollars for decent food. This is the basic food and if we want premium food, we have to pay 10 - 15 dollars. Maybe that's not a lot in other countries but for countries like India which is developing, this is huge.
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