1. International Crude Price 2. Higher Agricultural commodity Price 3. much liquidity in Market
define an inflationary economy
The economy
Recessionary.
It exists when the AD exceeds the productive capacity of an economy (LRAS). The amount is the difference between the current level of income and the income at full capacity, if the economy is producing over full employment.
They have no economy they all live in mud huts
the Philippines is 175 years late than the US economy
Zimbabwe's economy is suffering due to an ineffective government.
During an inflationary period, the government should consider taking actions such as increasing interest rates, reducing government spending, and implementing policies to control the money supply. These measures can help to curb inflation and stabilize the economy.
A high level of capital in the economy exerts and inflationary pressure. With this, prices can rise and the value of the money goes down.
increase in the cetnral bank lending rates to the commercial banks,increase in the borrowing of the government from the local economy(domestic borrwing),high inflationary pressuressustained in the economy,efforts by the central bank to stabilize the exchnge rates of a country in a situation where the countries currency has all of a sudden been depreciated due to foregn trade shocks
During an inflationary period, the U.S. government might use contractionary fiscal policy to slow down the economy by reducing government spending or increasing taxes. By cutting spending on public programs or raising taxes, disposable income for consumers decreases, leading to lower demand for goods and services. This reduction in demand can help alleviate inflationary pressures, stabilizing prices in the economy.
a sale of bonds to decrease the money supply, increasing interest rates, these are recessionary measures used to slow down the economy.