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Inflation

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by

Rachel Griffith

on 14 October 2014

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Transcript of Inflation

Definition
Inflation is the rate the general level of prices of goods and services is rising, and purchasing power is falling.
Inflation on food
Types of inflation
Video
References
investopedia.com
bostonfed.org
frbsf.org
inflationdata.com
finance.zacks.com
bankofcanada.ca
youtube.com
Why it's bad
It affects the value of money, which goes down. Thus creates the inflationary spiral.
Inflation
Measurements
Inflation is measured by two main indexes:
CPI
PPI

Other measurements include:
PCE
GDP
Interest Rates
Inflation of food has risen throughout the years. A characteristic that raises price is volatility.
Interest rates are decided by the Federal Reserve. They meet eight times a year and decide on short-term interest rates.
There are three types of inflation:
deflation
hyperinflation
stagflation
Security
Inflation-indexed security protects against inflation.
Full transcript