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∙ 9y agoHigh inflation in Zimbabwe is the cause of years of recession in the economy. Zimbabwe has also been hit with devastating droughts over the years.
Wiki User
∙ 15y agoApprox 2 million % , and climbing steadily.
Wiki User
∙ 15y ago231 million per cent per annum. They dropped 12 zeros at the end of January, 2009 but that didn't seem to help. The country is now using foreign currencies.
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∙ 12y agoZimbabwe has runaway inflation, no one can say at what point it will stop.
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Why does Zimbabwe have a record of high unemployment rate and lowest inflation rate in southern Africa?
Zimbabwe has a high unemployment rate because Mugabe has forced many white land "owners" to give up there land to the government to be redistributed to black war veterans in the area. His reason for doing so is to "Right the wrongs of colonialism." Also the inflation rate is low because Zimbabwe doesn't currently use their own currency, they trade with currencies such as the U.S. Dollar, and the South African Rand.
How does inflation affect interest rates?
if an interest rate is high, it is likely that inflation is also high. Generally, one doesn't affect the other so much as measure the other.
What is the effect of a raise in discount rates?
Discount rate = inflation expectation + risk premium for the investment, so when inflation goes up, your discount rate should go up
What is the inflation rate of India August 2010?
Inflation in India has come down to 9.97% in July 2010, when compared to June 2010 and because of RBI's tightening policy in July 2010, inflation is expected to stabilize at 7% in march 2011, expert says, so the inflation in the month of August 2010, should lies between 9-10%.
What is relation between inflation and interest rate?
Interest rate is the rate that borrowers pay extra for using money from a lender. Inflation is a rise in price level for goods and services over a period of time. When the price level rices, each unit of currency buys fewer goods and services. As a general rule of thumb, loaners like inflation and lenders dislike inflation because inflation decreases the value of money. This causes lenders to increase the interest rate, so that they do not become poorer than when they started off lending out money. Inflation increases interest rate. When lenders loans out money, they want to make a profit. If there's inflation, the money that the lender loans out loses purchasing power, meaning that every dollar is now worth less than it was originally. The same dollar buys less goods and services than it did before inflation. Because the lender wants the borrower to cover the cost, the lender will increase interest rate so that he or she is guaranteed not to lose money.
Why does Zimbabwe have a record of high unemployment rate and lowest inflation rate in southern Africa?
Zimbabwe has a high unemployment rate because Mugabe has forced many white land "owners" to give up there land to the government to be redistributed to black war veterans in the area. His reason for doing so is to "Right the wrongs of colonialism." Also the inflation rate is low because Zimbabwe doesn't currently use their own currency, they trade with currencies such as the U.S. Dollar, and the South African Rand.
When you are earning interest is it better to have high or low rates?
High rates.However, high interest rates are usually a consequence of high inflation rates and so what matters is not the interest rate but the real interest rate which is the nominal interest rate relative to the inflation rate.Thus a 3% interest rate when inflation is 1% is better that a 5% interest rate when inflation is 4%.
How does inflation affect interest rates?
if an interest rate is high, it is likely that inflation is also high. Generally, one doesn't affect the other so much as measure the other.
What is the relationship between interest rate and labor supply?
There is not a direct link but high interest rates are associated with expectations of high rates of inflation. High inflation may be associated with high wage rises and so lower employment rates. Low employment rates would suggest excess labour supply. So, from one end of that chain to the other: high interest rates are associated with high labour supply.
Where is potato farming an important job?
In Ireland or in poorer areas in Africa e.g. Zimbabwe cos they have hyper inflation so that isn't good
What is the effect of a raise in discount rates?
Discount rate = inflation expectation + risk premium for the investment, so when inflation goes up, your discount rate should go up
Do all countries in the world have both paper money and coin money?
At least one country uses only paper money - Zimbabwe. The reason is that inflation is so high they can't mint coins that would be worth less than the rise in prices.
What stocks could give me a good return on my money?
Today, We all wants to create a wealth. also wants to earn high return on Stocks. But Did you think What is good return on stocks? What is a high return on stocks? What is a good return on stocks per year? What is the best return on stocks? highest return on stocks? What is a high return on stocks? So, The Answer is Earn more than inflation. Golden Statement If you want to create a wealth from Stocks, You must have to earn more than inflation. For india Where we will see the inflation rate? Ways to know inflation rate of India Indian governtment site Search on google inflation rate in india Golden Statement If you beat the inflation on return, then think your money is growing. Now The question is How many percentage for grow money or beat the inflation? The answer is you must have to earn 5%-6% more than inflation. For Example, If the current inflation rate is 7.5% then you must have to earn minimum 12%. If you like this blog then share it.
What is the current collector's value of an uncirculated 2008AA series 100000000000000 dollar note?
You didn't state what country the bill is from, but with a denomination that high it's almost certainly from Zimbabwe. Financial mismanagement in that country produced runaway inflation, with trillions of Zimbabwean dollars being worth only a few American cents. So, if your bill is from Zimbabwe it has no value except as a curiosity.
What was the inflation rate after the great depression?
We were on the gold standard then. No fiat currencyhttp://inflationdata.com/inflation/images/charts/Annual_Inflation/inflation_Cumulative.htmI don't think there was much inflation after the depression. During the depression there was deflation. The economy recovered slowly so there was no spike in inflation.
What is the inflation rate of India August 2010?
Inflation in India has come down to 9.97% in July 2010, when compared to June 2010 and because of RBI's tightening policy in July 2010, inflation is expected to stabilize at 7% in march 2011, expert says, so the inflation in the month of August 2010, should lies between 9-10%.
What is relation between inflation and interest rate?
Interest rate is the rate that borrowers pay extra for using money from a lender. Inflation is a rise in price level for goods and services over a period of time. When the price level rices, each unit of currency buys fewer goods and services. As a general rule of thumb, loaners like inflation and lenders dislike inflation because inflation decreases the value of money. This causes lenders to increase the interest rate, so that they do not become poorer than when they started off lending out money. Inflation increases interest rate. When lenders loans out money, they want to make a profit. If there's inflation, the money that the lender loans out loses purchasing power, meaning that every dollar is now worth less than it was originally. The same dollar buys less goods and services than it did before inflation. Because the lender wants the borrower to cover the cost, the lender will increase interest rate so that he or she is guaranteed not to lose money.
