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The poverty researcher Christoph Butterwegge warns of hidden poverty with a view to the current inflation. "These are people who have enough in their wallets, but the money goes out of their wallets so quickly because of the rising prices that they still get into trouble," he said on Friday in the WDR5 "Morgenecho". For example, families with high rents who have a lot of expenses from their children and then get into financial difficulties due to rising prices for food and energy, especially electricity.
"A very crucial question is whether someone has financial reserves," explained the Cologne political scientist. Almost 40 percent of the population in Germany have no significant assets. If someone has a “decent fortune”, the gas price could also increase tenfold.
But many people well into the middle class have no assets and no reserves. "The fact that you have to limit yourself is a new normal," said Butterwegge. Some saved on vacation, others on food or limited their leisure time.
