This quote by Balaji Srinivasan uses the analogy of shares to explain the concept of inflation and how it can affect perceived wealth versus actual ownership or value. In this example, the increase in the number of shares (or money supply) leads to a decrease in individual ownership percentage, illustrating how inflation can erode purchasing power despite an increase in nominal amounts of money or assets. It's a simplified explanation highlighting the deceptive nature of inflation, where numerical increases can mask the underlying loss in value or control.