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  1. Inflation occurs when the supply of money grows faster than the supply of... example that demonstrates the relationship between money supply and inflation . Let's say you have a $10 trillion economy, meaning that $10 trillion...

    6 Answers · Social Science · 11/03/2007

  2. Inflation hinders the market because it reduces the ability for consumers to consume. It... describe it as "too much money 'chasing' too few goods." Inflation is usually measured by the price of common goods, known as a Consumer...

    3 Answers · Social Science · 30/01/2008

  3. Inflation is an increase in the general price level of an economy, generally measured by the change in the Consumer... of thought on how this can happen: (1) the Monetarist view which states that inflation is the direct result of an increase of the money supply according to the quantity theory of money: M*v...

    2 Answers · Social Science · 26/03/2010

  4. One disadvantage of low inflation is that it hinders the ability of the central bank..., so those are the points. Now, say inflation is 2% coming into a severe and nasty recession; let...

    3 Answers · Social Science · 31/05/2013

  5. A small amount of inflation can be viewed as having a beneficial effect on the economy. One...sticky downward" and tend to creep upward, so that efforts to attain a zero inflation rate (a constant price level) punish other sectors with falling prices...

    3 Answers · Social Science · 01/05/2008

  6. Inflation is caused by many factors. (1) Demand-pull nflation: this occurs when the demand... in the economy. They would always take advantage of high demand to increase prices. (2) Cost-pust inflation : This occurs when the cost of production (prices of factor inputs) increases. ...

    6 Answers · Social Science · 03/07/2008

  7. Inflation occurs when the value of a dollar decreases (i.e. when prices... in more valuable dollars than they will receive back. To combat inflation , the federal reserve raises the rates at which banks can...

    4 Answers · Business & Finance · 20/06/2006

  8. Inflation is a rise in general level of prices of goods and services over time. ... (such as wages) is not included in the original meaning of the word. Inflation can be thought of as a decrease in the value of the unit of currency. It is measured...

    4 Answers · Social Science · 10/07/2008

  9. Inflation is the result of too much money chasing too few goods and ... wealth and prefer safe and secure investments as a source of income. Inflation makes starting or expanding a business harder because...

    1 Answers · Social Science · 20/12/2011

  10. Inflation refers to the increase in the price of goods...of a product was $100 in 2007 and $105 in 2008, then inflation is calculated to be 5%. The value...off employees and so on - the exact opposite of inflation . Inflation is considered to...

    2 Answers · Social Science · 24/01/2009

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