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Supply & Demand, Economics
Economic studies tell us that when the price of a good drops, demand will rise. Furthermore, when the price of a good rises, demand will go down.
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What typically happens to the inflation rate when unemployment falls to very low levels?
it rises
Happens when prices rise quickly?
an inflation ;)
If aggregate demand rises what happens to real GDP what happens to the price level?
Inflation.
What happens if rate of inflation is zero?
A 0% inflation rate means that money is not losing or gaining any buying power.
If there is not enough money in the circulation what happens to businesses?
It is called an inflation or recession.
What typically happens to the inflation rate when unemployment falls to very low levels?
it rises
How did inflation affected the Roman Empire?
inflation happens when money loses its value and it affected the Roman Empire.
In Germany what did inflation do?
inflation is when the value of paper money or notes falls so when inflation started in Germany, no one could afford any important supplies such as food.
What are the inflation trends over the past fifty years?
B/c inflation happens
Happens when prices rise quickly?
an inflation ;)
What happens when too much money is in circulation?
Inflation happens. When the supply of money goes up. The value of money goes down. And prices go up. Inflation is not the same as rising prices. Inflation causes rising prices.
Happens when prices rise very quickly?
an inflation ;)
If aggregate demand rises what happens to real GDP what happens to the price level?
Inflation.
What happens if rate of inflation is zero?
A 0% inflation rate means that money is not losing or gaining any buying power.
If there is not enough money in the circulation what happens to businesses?
It is called an inflation or recession.
What happens to the circulation of money during inflation?
prices go up
What do you think happens to the value of investments that grow slower than inflation?
If an investment grows slower than inflation, its real value decreases.
