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Too much money chases too few goods. So the price of everything goes up.
Gerson Bahringer
Wiki User
∙ 13y agoInflation starts when a country goes into an economic crisis(like the great depression). When the government runs out of money to spend, they start to print more. When there is more money being printed, prices in stores go up. And not just up a little. For example the price of bread at a time like this could be well over a hundred dollars. As an effect the value of your money goes down and down until it is almost worth nothing.
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