current Indian inflation is 0.26 on 23/March/2009
1.54 percent for the week ended July 18 compared with last week's minus 1.17 percent.
2.inflation rate in India is 13.5 as on May 2010
Inflation is caused due to several economic factors:
Inflation affects both the economy of a country and its social conditions, as well as the political and moral lives of its inhabitants. However, the economic effects of Inflation are stated and described below:
I don't think that there is any difference on how inflation effects the Indian economy as it effects any other economy in the world. Same thing happens to everyone. The government prints to much money which causes the prices to be raised and after a certain period of time it will all become next to worthless
International inflating Market Currency, poor policies of the ruling Indian National Congress and the BLACK MONEY lying abroad
whole sale price indix rose to 0.7 percent this week. previous week it was about 0.85
what is the current inflation rate in India today?as per today i.e 28-3-2009 the inflation rate is 0.27%
Population growth, skyrocketing energy costs, changing climate (and its associated effects on agriculture), increasing demand for products, and an expanding economy.
on increasing inflation economy growth decreases
supply and demand effects the market economy and commodity prices. with a increase in demand commodity price increases resulting in inflation in economy and viceversa, and with increase in supply by producers there is decrease in commodity price resulting in deflation in economy.
There will be more liquidity in the system. So it will fuel growth as well as Inflation.
they put less.
Mild inflation is a slow rise in price level of no more than 5 percent per annum. It is associated with a low level of unemployment and is during the upswing phase of a trade cycle. Such creeping inflation has beneficial effects on an economy. It is a sign of a buoyant economy or an expanding economy, implying the generation of jobs, output and growth.
on increasing inflation economy growth decreases
supply and demand effects the market economy and commodity prices. with a increase in demand commodity price increases resulting in inflation in economy and viceversa, and with increase in supply by producers there is decrease in commodity price resulting in deflation in economy.
negative inflation mean there is decrease in thevalue of good but at slower rate.it is a situation where there is no demand in the economy as there is no supply of money in marketits not good for economy as the supplier donot find demand for their good in the market as a result they have to shut down their enterprises..and the economy growth start declining
There will be more liquidity in the system. So it will fuel growth as well as Inflation.
they put less.
What are the effects of inflation on real domestic output?
Mild inflation is a slow rise in price level of no more than 5 percent per annum. It is associated with a low level of unemployment and is during the upswing phase of a trade cycle. Such creeping inflation has beneficial effects on an economy. It is a sign of a buoyant economy or an expanding economy, implying the generation of jobs, output and growth.
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.
Too much inflation will ruin the economy but small levels of inflation will spur growth. Inflation is very harmful to any economy because it can ruin the economy's development and growth and this is not suppose to be. Inflation is also very harmful to any economy because the people living in that economy might not survive the situation and this is when you see that an economy is affected and if nothing is done to it, it can cause an economy to collapse.
Indian economy is in growth stage, as compared to previous years output, employment, inflation, consumer spending and investment is increasing. And as compare to previous years bank credit policies are also becoming liberal.
Monetary policy can have an impact of inflation. The ideal state of the economy is a balance between inflation and unemployment at 4.3% which is only seen in a wartime economy.
inflation