[ivanbakel]

In a developed service-based economy, relative purchasing power isn't that important in the short term. You might eventually notice the indirect impact of imports being more expensive, but I doubt that matters too much to the average person.

You also have to account for the fact that house prices are rising - so even if you're losing purchasing power, you're still making nominal gains on your assets.

[lotsofpulp]

What is relative purchasing power?

In an economy where supply of labor is decreasing quicker than automation can replace it due to decreasing proportion of younger working people to older non working people, I would say being able to procure labor is a bigger problem than imports. And that will get harder if your cash flow buys less and less.