1
Q
What is inflation?
A
Sustained rise in the average price level over a period of time.
Inflation causes the average price level to rise and the value of money to fall.
2
Q
What is a deflation?
A
When the rate of inflation is negative e.g. -1%.
Economics
flashcards
Decks in class (18)
# Cards
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Economic Problem22
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Economic Assumptions12
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1.1.3 Demand, Supply & Market Equilibrium37
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1.1.6 Externalities5
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1.2.3 Revenue, Costs & Profits9
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Business Competition33
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1.2.5 The Labour Market24
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Inflation2
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Macroeconomics Objectives - 2.1.111
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Labour Mobility6
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1.1.4 Elasticity6
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1.1.5 The Mixed Economy19
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1.2.1 Production3
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1.2.2 Productivity And Division Of Labour7
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Unemployment26
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Balance Of Payments8
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Macroeconomic Objectives - Protecting The Environmnent5
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Inflation9
