what is inflation?

Answers were Sorted based on User's Feedback

Answer / trishla

Inflation is a period when price of the commodities rises
and simultaneously demand rise and supply of the products

Is This Answer Correct ?    24 Yes 7 No

Answer / rahul

Inflation is defined as a sustained increase in general
price levels over a period of time. It is measured as the
percentage rate of change of a price index.

Is This Answer Correct ?    18 Yes 5 No

Answer / vijay gawalkar

The rate at which the genetal level of prices for goods and
services is rising and subsequently, purchasing poower is
Note: Most countries central banks will try t sustain an
inflation rate of 2-3%.

Is This Answer Correct ?    13 Yes 2 No

Answer / raj dasari

Inflation : To much money chasing too few goods. goods will
become costlier as people who have money will keep on
purchasing the goods which are limited making it impossible
to the common man to purchase. supply decreases and demand

Governament has taken steps to minimise the inflation rate
from 6.67 to 3.24 ( as on 2nd feb ) by increasing the cash
reserve ratio in banks and also interest on fixed deposits.

Is This Answer Correct ?    6 Yes 1 No

Answer / sathish,pradeep(warangal-andhr

The overall general upward price movement of goods and
services in an economy, usually as measured by the Consumer
Price Index and the Producer Price Index. Over time, as the
cost of goods and services increase, the value of a dollar
is going to fall because a person won't be able to purchase
as much with that dollar as he/she previously could. While
the annual rate of inflation has fluctuated greatly over the
last half century, ranging from nearly zero inflation to 23%
inflation, the Fed actively tries to maintain a specific
rate of inflation, which is usually 2-3% but can vary
depending on circumstances. opposite of deflation.

Is This Answer Correct ?    6 Yes 2 No

Answer / chandana

Inflation means a rise in price levels of goods and
services in an economy.

Is This Answer Correct ?    5 Yes 1 No

Answer / jaypattnaik

today's value of money is not equal to the future value of
the same amount of money . this difference is termed as

Is This Answer Correct ?    5 Yes 2 No

Answer / nitin baweja

Inflation is an upward movement in the average level of
prices for goods and services,coz inflation is a rise in
the general level of price, it is linked to money, it
redefines the value of money.

Is This Answer Correct ?    5 Yes 2 No

Answer / saroj kumar

inflation is the simultaneous hike in the value of money as
well as the cost of services or goods.it happens in
uncertain gaps of periods.its a complete economical term.
ex- 1994 1995
rice 15/kg 20/kg
salary 800/month 1100/month

Is This Answer Correct ?    4 Yes 1 No

Answer / bhasker

"too much money is chasing too few good" inflation means
the value of money goes on decreasing because excess of
demand over supply

Is This Answer Correct ?    4 Yes 1 No

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