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I think you're referring to a so called Running Inflation.

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13y ago

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Related Questions

What are the links between inflation and the economy?

on increasing inflation economy growth decreases


How does the relationship between inflation and recession impact the overall economy?

The relationship between inflation and recession can impact the overall economy in a significant way. When inflation is high, it can lead to a decrease in consumer purchasing power and a rise in production costs, which can slow down economic growth and potentially lead to a recession. On the other hand, during a recession, inflation may decrease as demand for goods and services falls, which can help stimulate economic recovery. Overall, finding a balance between inflation and recession is crucial for maintaining a stable and healthy economy.


Which of these can affect the economy by increasing or decreasing the money supply?

The Federal Reserve Board can affect the economy by increasing or decreasing the money supply.


What is an economy that experiences decreasing real GDP and increasing prices suffering from?

An economy that experiences decreasing real GDP and increasing prices suffering from stagflation.


HOW Does the government typically change fiscal policy to try to improve the us economy during a recession?

Normally in a recession the government would want to raise the equilibrium level of income. This can be done in one of two ways: by increasing government spending or by decreasing taxes.


Do Keynesian economist believe that the economy is self regulating?

No, they regulate the economy by doing 2 things: 1)increasing government spending and decrease taxes to fight recession 2) decrease government spending and increase taxes to fight inflation.


Are car insurance costs increasing or decreasing in this economy?

Car insurance is increasing at a rate of 1.4% as of 2009.


Is smoking increasing or decreasing in developing countries?

Yes smoking is decreasing in other countries because of the economy crisis


How does the relationship between recession and inflation impact the overall economy?

The relationship between recession and inflation can impact the overall economy in a complex way. During a recession, there is usually a decrease in economic activity, leading to lower demand for goods and services. This can cause prices to fall, resulting in deflation. On the other hand, inflation occurs when there is too much money chasing too few goods, leading to a general increase in prices. In some cases, a recession can help to reduce inflation by lowering demand and putting downward pressure on prices. However, if a recession is severe, it can exacerbate deflation and lead to a prolonged period of economic stagnation. On the other hand, high inflation during a recession can erode the purchasing power of consumers and businesses, further worsening the economic downturn. Overall, the relationship between recession and inflation is a delicate balance that can have significant implications for the overall health of the economy.


Will unemployment increase or decrease?

Inflation is always increasing. The US is seeing very little inflation because the way the economy works, but nevertheless prices do rise (gas, milk, etc.). But these are always fluctuating anyway.


An economy that experience decreasing real GDP and increasing prices is said to suffer from what?

stagflation


What is the solution to control inflation in an economy?

Decreasing the money supply. Monetary policies are concerned with the increase or decrease of the money supply.