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Inflation

A persistent increase in the level of consumer prices or a persistent decline in the purchasing power of money, caused by an increase in available currency and credit beyond the proportion of available goods and services.

1,474 Questions

Fiscal policy tools impact?

fiscal policy tolls impact the sweet smell of grren vagina in the morning under the tuscan sun.

What effect on real GDP does increased saving by households and businesses have on the equilibrium level of real GDP?

More savings produces greater additions to capital per hour of labor, raising real GDP per person.

What is the relevance between birth rate and gnp growth rate?

There would be a negative relationship, because as GNP increases in a country there is a higher investment in terms of education and family planning, which is a factor that decreases birth rates in a country.

What is the GDP of Malaysia?

GDP - real growth rate: -2.8% (2009 est.)

4.6% (2008 est.)

6.2% (2007 est.)

What is the relationship between current account deficit and inflation management in India?

The larger the deficit the more inflation there will be. The government will print more money in the hopes of being able to get out of the deficit easier.

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.

What does the government use to control who enters an industry?

Through a licensing system, government agencies control who enters such industries, their prices, and their methods of operation.

What is the effect of consumer awareness in the Indian economy?

In cities consumer awareness is seen but very less,the people of cities know their rights and most of them are not exploited but in rural areas peoples are exploited and hence no effect is seen.

How much did a pencil cost a long time ago?

Well how long are you wanting??? in the 1700's things hardly coast anything compared to now. $2.50 was A TON!!!!!! so since pencils were most likely sold individually the price could have ranged from 2 cents to 4 maybe even less...

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How mild inflation is beneficial for an economy?

Inflation is a measure of changes in the average price level and therefore, the cost living. A mild inflation could be indeed beneficial since it puts pressure on businesses to be competitive and at the same time, produces a situation where there is broad confidence in the macroeconomy. In fact, many countries wish to keep the inflation rate slightly above 0 (ie. UK keeps its inflation rate at around 2%) due to these benefits. However this is not the case of emerging and developing economies and there are many downturns that have to be considered.

How can I use Rostow's stage theory to assess Nigeria's level of economic development?

I'm not terribly knowledgeable about conditions in Nigeria, so your mileage may vary from my response. Rostow's theory centers around society being able to save (and invest) efficiently enough to promote economic growth. In other words, the key resource/concept to look at here is capital.

If you're asking this question, I assume that you at least have rudimentary knowledge of the stages, so I won't waste anyone's time typing those out. Basically, answering your question requires you to look at savings and investment levels in Nigeria, (and to some extent, the diversity of the economy there). If the economy is not very diverse and they're not exporting much, it's likely that they will fall into stage two or three of the model. If savings and investment equal roughly 20% of GDP and/or the population doesn't appear to be living on subsistence incomes, they might be toward the latter part of stage three/early part of stage four.

What is 114000 dollars in 1978 worth in 2011?

$114,000.00 in 1978 had the same buying power as $402,357.58 in 2011 and $434,200.48 in 2016.

What is the Impact of inflation in return on investment?

Calculating the return on investment you actually want to know whether the investment will give you positive value in the end. You wouldn't want to waste your money, right?

Thus you want to make sure that the net present value of your investment is positive. However, inflation deteriorates the value of money. 100 money today most likely can buy you more today than in a year's time. That's why you are interested in adjusting the expected future cashflows to the expected inflation rate.

Overall, not accounting for inflation will overestimate the value of investment. In other words, you could choose something which will not bring you benefit.

What is the relationship between CPI and inflation?

CPI is the indicator of inflation in any country.If CPI is high it means inflation is high.

What is the most common lawsuit initiated against businesses?

It actually depends upon the type of business, however, the two most prevalent types would be, breach of contract and personal injury.

Interest rates inflation the federal deficit and unemployment levels are all elements in which aspect of macroenvironment?

Interest rates, inflation, the federal deficit, and unemployment levels, are all elements of the economic macroenvironment. Another way of saying macro is large scale.

What is hypo inflation?

A hypo inflationary environment exists in a country were inflation rates of under 5% are expirienced for a duration of one year and over.