What is inflated economy?

Answer 1

Inflation; General and sustained increase in price level in an economy

or a loss in the value of money

too much money chasing too few goods.

Causes: Economy having demand that is past capacity to produce; rapid and sudden increase in money supply

Role of inflation: to create confident that the economy will not be going to deflation.

Answer 2

Simply said, it is the increase in prices of products. It doesn't necessarily have to be a negative thing. It results in decline in value of goods over a period of time. Eg. A thing that might have costed Rs. 10 five years back would cost Rs. 15 now due to inflation. Hence, we end up paying more for the same thing (same quantity).

Inflation is controlled by the Central Bank of an economy via its monetary policy stance and interest rates.

Answer 3

the economy is uder inflation because ther is a lack of resources therefore we the indivdual have to depend on other things in order to meet our needs and we sometimes too have to depend on our government for help.

Answer 4

Inflation originally meant an increase in the money supply, but is now often used to mean a sustained increase in the general price level (which, quite obviously, can only occur as a result of the former, confusing the symptom with the disease).

Answer 5

In simple words, Inflation means price rise and erosion in value of money over a period of time.

Simply said, it is the increase in prices of products. It doesn't necessarily have to be a negative thing. It results in decline in value of goods over a period of time. Eg. A thing that might have costed Rs. 10 five years back would cost Rs. 15 now due to inflation. Hence, we end up paying more for the same thing (same quantity).

Inflation is controlled by the Central Bank of an economy via its monetary policy stance and interest rates.

Answer 6

The amout of production nd distribution of goods wil rise . There for make d nature of d economy bad and the economy wil fall

Answer 7

more goods will be produced.