What is inflation?

Let’s learn what is inflation. The most accurate or helpful solution is served by Yahoo! Answers.

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Answer:

Using either a single good or a weighted average basket of goods, the inflation rate is calculated as...

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Is there a difference between growth and inflation, and if so, what is it?

Now, obviously, from the theoretical standpoint, growth and inflation are fundamentally different things.  In simple terms, growth is the expansion of the economy tied with a positive correlation to value.  Inflation is the devaluation of currency. But...

Answer:

Growth is real, inflation is synthetic.

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What is the ideal inflation rate and why?

I was looking at inflation rates, and in the US, there used to be periods of inflation and periods of deflation. It was just one of those things that was controlled by the market. The US hasn't been in a period of deflation for sixty years or so. Because...

Answer:

Interesting topic. Manageable inflation is actually needed in order to facilitate economic growth. As...

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What group of consumers are they referring to when economists argue that a moderate level of inflation spurs consumption?

I can hardly believe that the average consumer on the street takes into account an inflation rate of around 3-4% when making their consumption decisions. What's more likely to happen is that the consumer goes to buy something at the end of the month...

Answer:

Let me start with an example from somewhat unrelated study presented in this TED Talk: How to solve...

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3. What is the difference between demand pull inflation and cost push inflation?

3. What is the difference between demand pull inflation and cost push inflation? Must the economy experience only one type of inflation at a time or can these occur simultaneously? If you were trying to control inflation, would you depend on fiscal or...

Answer:

Demand pull inflation is where the demand for an item has increased to a point where the price is increased...

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What causes inflation in the long run?

there is one question i have been struggling with to answer and was wondering if anyone can help me with any information. Thanks Another variable of interest when studying the business cycle is inflation. Inflation describes the rise in the general price...

Answer:

Inflation is driven by greed. Companies are forced to give salary raises but still want to make the...

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What is a good way to gauge and track Inflation on an aggregate Worldwide level?

When Country A has a lower inflation, country B at the same time can have a higher inflation while country C even might have a deflation of sort! Also the relative sizes of the economies or GDPs or counties A, B and C are different. The question is what...

Answer:

You can get answers for all countries from things like this: What inflation rate estimate is appropriate...

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What are the main reasons for inflation?

I know that printing money that is not based on any real source (ie. gold, gems,oil,etc) contributes to inflation, but what are some other factors that enter into it. But if that is the MAIN reason can you explain or direct me to a source or link to...

Answer:

Two reasons,demand pull or cost push.

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Economists sometimes refer to an “inflation tax”. Which of the following statements best describes what they h?

Economists sometimes refer to an “inflation tax”. Which of the following statements best describes what they have in mind? a. Many tax laws cause great inefficiency in the presence of inflation. b. Many tax policies cause substantial redistribution...

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Asking us to do your homework?

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What is the average inflation rate?

The real risk-free rate of interest, r* is 3%, and it is expected to remain constant over time. Inflation is expected to be 2% per year for the next 3 years and 4% per year for the next 5 years. The maturity risk premium is equal to 0.1 (t-1)%, where...

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Okay well in 2002 10 years ago in england 100 pounds today will now be 133.47 inflation each year was...

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