inflation

     

Inflation is a rise in general level of prices of goos and services over time. Although "inflation" is sometimes used to refer to a rise in the prices of a specific set of goods or services, a rise in prices of one set (such as food) without a rise in others (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 as the percentage rate of change of a price index but it is not uniquely defined because there are various price indices that can be used.

Trivia about inflation

  • Economists say if the rate of this is 2 or 3% a year, it's normal; if it's "galloping", it's bad
  • The "hyper" type of this economic event struck Germany in 1923, when a U.S. dollar was worth 4 trillion marks
  • Theories that try to explain this steady rise of prices include cost-push & demand-pull
  • Extreme economic expansion
  • President Ford introduced a new economic program in Oct. 1974 with "win" buttons, standing for "whip" this "now"
  • In 2006 Lithuania was banned from adopting the euro as its rate of this was 2.7% & the max allowable was 2.6
  • Some scientists believe that the universe is undergoing expansion called this, also an economic term
  • (Sarah of the Clue Crew shows a chart on the monitor.) The Phillips curve shows that when unemployment is reduced, as by expansionary fiscal policy, the level of this economic threat rises correspondingly
  • Riyals actually gain value in Qatar--it has the world's lowest rate of this, negative 3.9%