What is inflation?

  • (noun): The act of filling something with air.
    See also — Additional definitions below

Inflation

In economics, inflation is a rise in the general level of prices of goods and services in an economy over a period of time. When the general price level rises, each unit of currency buys fewer goods and services. Consequently, inflation also reflects an erosion in the purchasing power of money – a loss of real value in the internal medium of exchange and unit of account in the economy. A chief measure of price inflation is the inflation rate, the annualized percentage change in a general price index (normally the Consumer Price Index) over time.

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Some articles on inflation:

Statistics About The Economy Of Bulgaria - History - 1990-2000
... Inflation, which surged in 1994 to 122%, fell to 32.9% in 1995 ... banking system, which led to an inflation rate of 311% and the collapse of the lev ... of growth and budget surpluses, but shaky inflation ...
Late-2000s Recession - Comparisons With The Great Depression
... In regards to inflation, the 1980–1982 recession inflation rate peaked at 14.76% in March 1980 and remained over 10% through October 1981, before dropping in ... By comparison, inflation during the 2008–2009 recession was practically non-existent, with a peak of nearly 5.6% inflation in July 2008 before dropping to.09% by December 2008 ... Inflation remains low, standing at 2.65% as of March 2012 ...
Controlling Inflation - Cost-of-living Allowance
... The real purchasing-power of fixed payments is eroded by inflation unless they are inflation-adjusted to keep their real values constant ... Salaries are typically adjusted annually in low inflation economies ...
Second-round Effect
... This leads to a high inflation, so the central bank has to raise interest rates ... Gordon describes the second-round effect as the built-in inflation in his triangle model ... As a result of past inflation, the second-round effect creates inflation ripples in the economy ...

More definitions of "inflation":

  • (noun): (cosmology) a brief exponential expansion of the universe (faster than the speed of light) postulated to have occurred shortly after the big bang.
  • (noun): A general and progressive increase in prices.
    Example: "In inflation everything gets more valuable except money"
    Synonyms: rising prices