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Inflation destroys it. The money made is lowered in value. Printing money causes this issue. If we print enough money the profit completely goes away and this your financial well being and development does also.
Wiki User
∙ 14y ago
Wiki User
∙ 9y agoInflation has a negative impact across the board economically. In developing countries, the effect is more devastating due to lack of resources to compensate for the inflation. In already developed countries, inflation usually finds most people reducing their spending in non-essential areas which in turn further harms the economy.
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What effect would inflation have on a company's cost of capital?
What effect would inflation have on a company's cost of capital
What is the effect of inflation on Output?
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What effect did ford's economic policy have the economy?
President Ford's economic policy had a negative effect on the economy. He first called for tax increases then for tax cuts which sent the country into a recession.
What is base effect in inflation?
When changes in the CPI in the base month have a considerable effect on twelve-month measured inflation, this is commonly referred to as a base effect. Base effects are therefore the contribution to changes in the annual rate of measured inflation from abnormal changes in the CPI in the base period.
Effect of inflation on silver coins?
Check out coinflation.com
Does inflation have anything to do with?
Inflation refers to the rate of increase of goods and services in a country Let us say the inflation rate of your country is 10% then whatever was worth $100 last year is worth $110 this year. This is the effect of inflation.
What affects cash?
The Economy effect cash flow the most. Also inflation, and country to country relations.
What effect would inflation have on a company's cost of capital?
What effect would inflation have on a company's cost of capital
What is the primary effect of outsource on a developing nation?
unemployment
What is the effect of inflation on Output?
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What has the author Joseph Harbinger written?
Joseph Harbinger has written: 'You can profit from inflation' -- subject(s): Effect of inflation on, Inflation (Finance), Investments
What effect did ford's economic policy have the economy?
President Ford's economic policy had a negative effect on the economy. He first called for tax increases then for tax cuts which sent the country into a recession.
What is base effect in inflation?
When changes in the CPI in the base month have a considerable effect on twelve-month measured inflation, this is commonly referred to as a base effect. Base effects are therefore the contribution to changes in the annual rate of measured inflation from abnormal changes in the CPI in the base period.
Effect of inflation on silver coins?
Check out coinflation.com
What has the author Lynn A Bace written?
Lynn A. Bace has written: 'Coping with inflation' -- subject(s): Case studies, Effect of inflation on, Industrial management, Inflation (Finance)
What was the economic effect of people keeping gold out of circulation?
inflation
What are the effects of balance of payments in relation to Zimbabwe?
If your country has higher level of inflation than major trading countries, the exports will be expensive and imports will be cheaper. Country's balance of trade will be affected and ultimate effect will be on the rate of exchange.
