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).
Asked in Inflation
What are the types of inflation?
On the basis of rate of Inflation, there are different types of Inflation. They are: Creeping Inflation. Walking or Trotting Inflation. Running inflation. Hyper or Galloping Inflation. Open Inflation. Suppressed Inflation. On the basis of rate of Inflation, there are different types of Inflation. They are: Creeping Inflation. Walking or Trotting Inflation. Running inflation. Hyper or Galloping Inflation. Open Inflation. Suppressed Inflation. ...
Asked in Jobs & Education, Inflation
What is the characteristics of inflation?
Characteristics of inflation are: Inflation involves a process of the persistent rise in prices. It involves rising trend in price level. Inflation is a state of disequilibrium. Inflation is scarcity oriented. Inflation is dynamic in nature. Inflationary price rise is persistent and irreversible. Inflation is caused by excess demand in relation to supply of all types of goods and services. Inflation is a purely monetary phenomenon. Inflation is a post full employment phenomenon. Inflation is a long-term process ...
What are the advantages and disadvantages of inflation accounting?
An advantage of inflation accounting, is that it can correct problems with inflation. The negative part about inflation accounting is that it is not fair value accounting. ...
Asked in Bonds and Treasuries, Inflation
Two types of inflation?
Fiscal inflation and wage inflation are the two most common types of inflation. Fiscal inflation occurs when there is an excessive amount of government spending. Wage inflation occurs when prices increase, and workers want more money to be able to afford the higher prices. ...
Asked in Inflation
What is Zero inflation and Mild inflation?
Zero inflation is where the economy reach a state of 0% inflation rate. This is not really good in the sense that it shows the economy is stagnant/not growing. This may turn away the investors. Mild inflation is basically low rate of inflation around 2% to 3%. Mild inflation shows that an economy is stable and indicates economic growth. ...