Subject: Economics | Topics:

Lecture on Inflation:

Inflation means rise in price in order to be inflation should be continuous. Inflation is percentage increase in price level. When most prices grow, there is inflation, provided the other prices do not drop heavily.

Some economists maintain that high rates of inflation and hyperinflation are caused by an excessive growth of the money supply,while others take the view that under the conditions of a liquidity trap, large injections are pushing on a string and cannot cause significantly higher inflation.Views on which factors determine low to moderate rates of inflation are more varied.

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