The document discusses inflation and its effects. It defines the Consumer Price Index (CPI) as measuring average price changes in a basket of goods and services over time to indicate inflation. Due to inflation, goods and services cost more so purchasing power decreases, financial planning is difficult, and pensioners and those on fixed incomes are particularly impacted. Inflation can also spur wage-price spirals as unions demand higher pay to offset higher costs, potentially fueling further inflation. The document lists inflation rates for various countries from 2012, with India having the highest rate of 9.3%.