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Debtors or creditors would be more likely to favor inflation?
Debtors.
Who would be more likely to favor inflation debtors or creditors?
A debtor would favour inflation; the debt would be repaid with money which is worth less than when it was borrowed.
Inflation redistributes income and wealth in favor of?
Poor
How does inflation decrease individual's wealth?
Inflation is the rise in the price level of a specific economy. Unanticipated inflation hurts savers and creditors. It declines the value of money. $1000 today may only be worth $500 dollars tomorrow if inflation is occurring at 100%.
Is it true inflation helped creditors because they could receive money that was worth less than when they lent it?
g
Debtors or creditors would be more likely to favor inflation?
Debtors.
If the actions of the government consistently favor inflation would you expect the minority of the voters to be creditors or debtors?
Creditors
Who would be more likely to favor inflation debtors or creditors?
A debtor would favour inflation; the debt would be repaid with money which is worth less than when it was borrowed.
What were the farmers and populist party in favor of?
inflation
Inflation redistributes income and wealth in favor of?
Poor
How does inflation decrease individual's wealth?
Inflation is the rise in the price level of a specific economy. Unanticipated inflation hurts savers and creditors. It declines the value of money. $1000 today may only be worth $500 dollars tomorrow if inflation is occurring at 100%.
Is it true inflation helped creditors because they could receive money that was worth less than when they lent it?
g
Who suffer the most from inflation?
1. People living on a fixed income 2. Savers 3. Businesses 4. Creditors
Can the bankruptcy court confirm the debtor's plan of reorganization?
A court can confirm a plan if that plan proposes to pay secured and priority creditors in full and unsecured creditors an amount that is fair and equitable. Thus, even if creditors do not vote in favor of the plan, the court can confirm it as long as it is fair to those creditors. The reasoning is that the court knows what is best and will not allow creditors to thwart the ultimate purpose of the code which is to provide for creditors what is fair based upon the financial circumstances of the debtor
Does inflation make us poorer?
Inflation reduces the value of your savings (if you have savings) but it also reduces the value to your creditors of the money you owe them (if you are in debt) so it may make you poorer, or it may make you less poor, depending upon your circumstances.
How does inflation affects debtors and creditors?
The debtors are gainers during inflation, while the creditors are losers. The reason this happens is because, during inflation, the value of money reduces greatly. The implications of which are that a rupee in the month of August is worth much less than what it was worth back in March. This means that a person can buy fewer goods per rupee in the month of august, than what he could in the month of March. In terms of the debtor, he is essentially paying back a smaller amount (in real terms) even though the amount he owed to the creditor remained the same. As far as the creditor is concerned, the value of the money that he receives from his debtors is worth much less than what it was when he lent it to them. (Implying that his purchasing power will be reduced when they repay him)
What does Hawk and Dove mean in financial terms?
Financial hawks favor low inflation over high economic growth, and want interest rates set high to keep inflation low. Financial doves prefer low interest rates and believe inflation has a minimal impact on society.
