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Demand Pull Inflation , where demand increased from supply

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Can Financing expansionary fiscal policy by increasing the deficit does not generally affect interest rates or inflation?

Expansionary fiscal policy or running the printing presses usually causes inflation. Sometimes it causes hyperinflation. It caused both the inflation and interest rate to rise to 20% under the Carter administration.


What is the causes of monetary inflation?

Look here http://en.wikipedia.org/wiki/Inflation#Causes


What are the Definitions of galloping inflation?

Galloping Inflation When the movement of price accelerates rapidly, running inflation emerges. Running inflation may record more than 100 per cent rise in prices over a decade. Thus, when prices rise by more than 10 per cent a year, running inflation occurs. Economists have not described the range of running inflation. But, we may saythat a double digit inflation of 10-20 per cent per annum is a running inflation. If it exceeds that figure, it may be called 'galloping' inflation. According to Samuelson, when prices are rising at double or triple digit rates of 20, 100 or 200 per cent a year, the situation is described as 'galloping' inflation. Indian economy has witnessed a sort of 'running' and 'galloping' inflation to some extent (not exceeding 25 per cent per annum) during the planning era, since the Second Plan period. Argentina, Brazil and Israel, for instance, have experienced inflation rates over 100 per cent in the eighties. Galloping inflation is really a serious problem. It causes economic distortions and disturbances. Submitted by: Sanchit Suneja SSCBS


What is running inflation?

RUNNING INFLATION: "It refers to the situation where the price level rises very fast. In case, price level doubles up every 3 years. It is, generally, succeeded by galloping inflation"


The idea that too much money in the economy causes inflation?

quantity theory: Theory that too much money in the economy causes inflation.


What are the causes of begging in Pakistan?

inflation andunemployment.


When planning marketing startagies during times of inflation marketers must be aware inflation causes consumers to?

a


What situation are see by economics as causes failure?

Greed causes inflation; when someone raises prices, that causes someone else to raise their prices...then the next person raises theirs, then the next, the next...inflation.


What is walking inflation?

Walking inflation: When the price rise is moderate (is in the range of 3 to 7 %) and the annual inflation rate is of a single digit, it is called walking inflation. It is a warning signal for the government to control it before it turns into running inflation.


How is inflation and employment levels related?

Inflation causes people to save on everything. This makes commerce to sell less. Selling less causes unemployment. Unemployment and low consumption cause recession. No inflation implies on high consumption which must be controlled as well, but is much better than inflation and recession.


What are three theories of the causes of inflation?

answer the question people god


What are the causes of imflation?

The causes of inflation include the rise in the supply and demand of a product or service and an increase in wages/salaries.