A period of constant inflation has its greatest effect upon what?
people living on fixed incomes
The next generation.
Can over-inflation cause tire slipping?
Severe overinflation can blow a tire off the rim, but unless that happens underinflation is a far more reason for tire slippage.
What is meant by open inflation?
Explain real GDP vs potential GDP?
Potential GDP is the total numerical value of GDP before inflation is counted in. Real GDP is nominal GDP adjusted for inflation
How does the cost of reducing inflation increase unemployment?
Inflation means that the cost of "stuff"(food, cars, housing, whatever) is going up. Its going up because there is strong demand for those things and people have plenty of money to buy them. If you (as a government or central bank) are concerned that things are getting too expensive, too fast then you need to reduce inflation. You need to slow down the economy and reduce the ability of people to buy so many of those things. You can slow the economy by raising interest rates and making it harder to borrow money. Less money sloshing around = less stuff being bought. The downside of slowing the economy and reducing the ability of people to buy so much stuff is that there's less work for all the people who make it. Lower inflation equals higher unemployment.
How might rapid inflation affect college enrollment?
Inflation is the decrease of the purchasing power of a currency.(Ex. Dollar, Yen, Franc, peso etc) This Increases the price of goods and purchases. If College Tuition rates Increase due to inflation it will be more expensive to attend college. This will affect enrollment substantially and may or may not reduce the enrollment rate.
What are the goals for ASGISA?
The goal of ASGISA is to focus its attention on business process outsourcing and Tourism and to a lesser degree on Bio-fuels. The reason for this approach is that these sectors are labour intensive and are growing sectors worldwide. This would suit our South African circumstances
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How is the law designed to protect consumers from high interest rates?
Consider who writes the laws regarding the legal amount of interest that can be charged a consumer. And consider who has the clout to get favorable statutes on the books. Congress and banks. It could be argued (and most convincingly) that the law is actually set up to "rip off" consumers as regards interest rates, not protect them. Especially on credit cards. The lobby for the credit card industry - the banks - insures (has insured - it's a fact) that congress sets down the most favorable allowances for their business. The cards have variable interest rates built in. Make one miscue and you'll be made to pay dearly for it. The card companies even have fine print that forces the consumer with a complaint into arbitration rather than allowing a hearing in open court. Who arbitrates? Private arbitration companies. The "arbiters" do (a fantastic!!!!) repeat business with the credit card companies, and a "one-time" transaction with a complaining consumer. Who gets served? Individuals who have had their cards used fraudulently have found no protection in arbitration (even with overwhelming evidence to support their case) and have had to pay. The "regulations" governing banks are modestly well considered, except as regards the issue with credit cards. Straight up, it's legalized usury. And we continue to subscribe to it daily. If ever a consumer issue demanded action, this is it. As an aside, we are, in general, a country of debtors. And poorer people tend to live in greater fear of government and "the establishment" and are more easily governed (read "controlled") by those in power. This is a fact know to politicians and strategic planners as well as to thinking people who consider the complex nature of a society and the dynamics of its action and reaction. Any issue of power is unequivocally tied to the issue of wealth, of money. It's an (over)established fact. And any citizen on the street will give that an "amen". The consumer can expect almost no protection whatsoever from the law in regards to credit card interest. About the only method of fighting back is to carry minimal or no balances on plastic money. Oh, you could always write your congressman. Like that's gonna help....
If inflation is high how does that affect interest rates?
Intuition suggests that business activity increases the demand for money, which drives up the "price" (interest rates) of money. It also suggests that lenders will charge more interest in order to cover the losses they experience from inflation (see the Fisher Equation) Along with that, we also experience an increase in inflation. This may not be your question, though, so keep reading.
During economic downturns, the Fed lowers interest rates. This causes inflation to rise, because it puts more money in the hands of consumers. When inflation gets too high, the Fed wants to raise interest rates.
The previous two paragraphs refer to different "interest rates". The first is about banks lending to consumers, the second is about Fed policy. Please be wary of the difference.
In the 1930s did the economy experience high inflation?
No. In the early 1930s prices fell, and so did the money supply. The period of intense inflation in Germany was 1919-23.
How is inflation percentage determined and how it is related to petroleum price?
As with any percentage increase, you work out the actual increase in the quantity, multiply by 100, and divide by the value of the quantity before the increase.
Thus if the price of crude oil goes from $120 to $130, the increase is $10, multiply by 100 gives 1000, divide by 120 gives 8.33 percent
Where can I find the best commercial cleaning supplies for my office?
There are literally hundreds of suppliers in the high street and in the world wide web who have these products and can provide the very best products for use in different applications including cleaning products, paints & coatings, adhesives, elastomers, metal working, oil field & energy, electronics, textiles, mining, construction, printing & inks, and water treatment. Seek these locally and on the net , check prices as this is important and the viability of the company before taking out an order
Why did confederate currency experience inflation?
Many people doubte the value of paper maney and raised the price of goods.<3
Final price index = 140
Initial price index = 125
Therefore, difference in price index between period 3 and 4 is : 140 - 125 = 15
Lastly, 15/125 * 100 = 12%
What is the value of an 1889 Peace dollar?
The Peace design was only issued from 1921 to 1935. If you have a large silver dollar dated 1889 it's called a Morgan dollar.
Please see the Related Question for more.
Can you pop your own stomach by belly inflation?
yes, but due to the intense pain you'd feel before hand you'll have a good warning before that happens
What is the most common type of power plant?
The most common type of power plant is one that uses fossil fuels such as coal, oil or natural gas. Less common power plants use nuclear, geo-thermal, hydro-electric, wind, solar, or other power sources to run the plants.
Where can you get basketball inflated?
I would just buy pump. Sport stores probably have pumps or in your in school, see your gym teacher
How do you figure inflation rate?
Frankly, it's not something that's easy to accurately figure for the average consumer, but what the government does is keep a list of goods and services that they consider "typical", and measure the price of that total over time. Then they take the cost of the new basket of goods, subtract the old basket of goods, and divide by the cost of the old basket of goods. For example, if this year's "basket" cost $1000 and last year it cost $930, then the inflation rate would be 1000 - 930 = 70 / 930 = 0.075 or 7.5 percent.
Keep in mind this is for a wide basket of a variety of goods which you may or may not use yourself. Your gas prices and electric bill might go up, but if your grocery costs go down, they tend to balance each other out somewhat. They'll also measure changes in what you get for the money too and factor that in.... for example if the box of crackers that still costs $1 now contains 12 ounces instead of 13, they adjust accordingly.