Peter F. Drucker on Economic Threats

CHAPTER ONE

Inflation-Proofing the Company

EVERY WEEK, IT SEEMS, another book comes out announcing the one sure way to protect the individual and his money against inflation. But no one seems to pay much attention to protecting business. And yet little individual wealth is likely to survive unless the economy’s wealth-generating assets, its businesses, retain their capacity to produce. And that this capacity is endangered by prolonged inflation—let alone by chronic inflation at high rates such as the whole world is now experiencing—everyone accepts, including even the “progressive” economists for whom inflation is very much the lesser evil.