~> INFLATION : **************** Inflation is as an increase in the price of bunch of Goods and services that projects the Indian economy, usually it measured by the CPI /WPI or by the implicit price deflator. An increase inflation figures occurs when there is an increase in the average level of prices Goods and services. Inflation happens when there are less Goods and more buyers, this will result increase the price of Goods, since there is more demand and less supply of the goods. The characteristics of inflation are as follows:- Inflation involves a process of the persistent rise in prices. It involves rising trend in price level. It is a state of disequilibrium. It is scarcity oriented. It is dynamic in nature. Inflationary price rise is persistent and irreversible. Inflation is caused by excess demand in relation to supply of all types of goods and services. It is a purely monetary phenomenon. It is a post full employment phenomenon. It is a long-term process.
Posted on: Sat, 17 Aug 2013 05:29:17 +0000
Trending Topics
Recently Viewed Topics
© 2015