Inflation

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inflation and its types

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Inflation

  1. 1. Inflation
  2. 2. definition R.P KENT says that: inflation is nothing more then a sharp upward moment in the price level. W.ACOULBORN : inflation means too much money cashing too few goods. In my words increase in the prices of common goods due to increase in money circulation.
  3. 3. Types of inflation Demand Pull inflation Cost push inflation
  4. 4. Demand pull inflation The increasing demand of goods and services bring demand pull inflation. • Demand supply prices inflation
  5. 5. Effect of inflation      Currency value depreciate against other countries Due to excess of Inflation the relevant country Exports decline and imports increased. as result the slandered of life fall due to increase in price. Poverty increase.
  6. 6. Cost push inflation  Increase in cost of production goods is major factor of cost push inflation.it is occur due to increase in cost of factor of production.  •
  7. 7. Question?
  8. 8. Thanks

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