Why is a high rate of inflation generally considered harmful to an economy?

A high rate of inflation is generally considered harmful to an economy because it erodes purchasing power, making goods and services more expensive for consumers. This can lead to decreased consumer spending and savings, which negatively impacts economic growth. Additionally, uncertainty about future inflation can deter investment, as businesses may hesitate to commit resources in a volatile environment. Lastly, high inflation can disproportionately affect lower-income households, exacerbating inequality and social tensions.