2007-01-20 03:16:42 · 3 answers · asked by nice01guyin 3 in Business & Finance ➔ Other - Business & Finance
I was told by my business studies teacher that inflation is the general rise in prices. A prime example would be housing or interest rates. This normally signifys a lack of GDP in a country. (Gross domestic product)
2007-01-20 03:21:48 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Inflation rate is actually a government stealing from its citizens (mostly unintentional). Inflation is when the fed produces more dollars than there are units of stored labor to back it up causing the dollar to be worth less than the year before. Last year in some sectors in the US there was deflation which was that the fed did not produce enough money. In some South American countries during the 80's and 90's there was super inflation. The cause of this inflation was a very corrupt government and low employment.
2007-01-20 11:30:06 · answer #2 · answered by Crockett 3 · 0⤊ 0⤋
Inflation rate in terms of economics is the rate at which currency becomes unrepresentative of the value of goods and services.
2007-01-20 11:21:20 · answer #3 · answered by boombabybob 3 · 0⤊ 0⤋