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In the U.K. inflation is controlled in principle by the Bank of England Monetary Policy Committee by adjusting the minimum lending rate ('bank rate') of interest. However, at the moment (October 2008) actual interest rates are higher and 'out of synch' with MLR.
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Causes for inflation in UK?
After the financial crisis hit, the pound devalued relative to the euro. The UK imports a lot. That seems to have kept inflation in the system. Recent VAT increases - notably on fuel - may be pushing the inflation rate up now.
How is inflation and employment levels related?
Inflation causes people to save on everything. This makes commerce to sell less. Selling less causes unemployment. Unemployment and low consumption cause recession. No inflation implies on high consumption which must be controlled as well, but is much better than inflation and recession.
Does the UK have low inflation?
Depends what you mean by "low". There are various measures and various types of inflation. The British Government has several, and has recently moved from one to another to calculate "inflation linked" price and pay increases. It's around 5% currently.
Causes and effects of price rise in India and measures to overcome it?
The effect of inflation in India is an unbalanced relationship between the amount of money earned and the cost of regular goods. This relationship can be controlled by bank authorities by limiting inflation.
How did the office Administration help manage the wartime economy?
The OPA set wages and controlled inflation to help manage the wartime economy.
2008 UK inflation rate?
3.6132%
Which Australian territories are still controlled by the UK?
There are no Australian territories still controlled by the UK.
Causes for inflation in UK?
After the financial crisis hit, the pound devalued relative to the euro. The UK imports a lot. That seems to have kept inflation in the system. Recent VAT increases - notably on fuel - may be pushing the inflation rate up now.
How is inflation and employment levels related?
Inflation causes people to save on everything. This makes commerce to sell less. Selling less causes unemployment. Unemployment and low consumption cause recession. No inflation implies on high consumption which must be controlled as well, but is much better than inflation and recession.
Which nations controlled Germany after the cold war?
the Ussr controlled east Germany and and the US and UK controlled west Germany.
What were some new agencies that congress established to help mange the wartime economy?
The OPA set wages and controlled inflation
Does the UK have low inflation?
Depends what you mean by "low". There are various measures and various types of inflation. The British Government has several, and has recently moved from one to another to calculate "inflation linked" price and pay increases. It's around 5% currently.
What city was once controlled by UK in China?
Hong Kong
Causes and effects of price rise in India and measures to overcome it?
The effect of inflation in India is an unbalanced relationship between the amount of money earned and the cost of regular goods. This relationship can be controlled by bank authorities by limiting inflation.
How did the office Administration help manage the wartime economy?
The OPA set wages and controlled inflation to help manage the wartime economy.
How did the office of price administration help manage the wartime economy?
The OPA set wages and controlled inflation to help manage the wartime economy.
How was inflation controlled during the World War 2?
FDR put wage and price increases in place and instituted rationing of scare commodities.
