Investopedia Video: What Is Inflation?
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- Опубліковано 21 жов 2010
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Did you know that inflation is silently eating away at your savings? Learn more about this sneaky financial phenomenon and what causes it.
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Price increases are measuring *one effect of* inflation. Real inflation is the expansion of the money supply, which this video only mentions as an side point.
Its other effects are wage increases, erosion of savings.
A very simplistic definition of inflation. If your watching for a class and want a deeper meaning check out inflation cycles over time, especially in US history. Provides a much broader view of how and why it occurs and why some people think they can "predict" it.
What’s the difference between CPI, currency inflation vs inflation of specific industries (telecommunications, F&B, education, etc)?
Not one of the videos explaining inflation I've seen have actually explained inflation.
0:03 "the increase in prices of goods or services over time" is a symptom of inflation. Inflation is an increase in the money supply.
ok 6 year old comment idc about your opinion because you have a my little pony profile pic
Luke Noble lol
So why did it go up by 5%? And why would you print more money?
@sandcut1 Correct.
thanks
At least America never prints money too much lol
thanks for the explaination that is going to help me a lot
song name?
The busienss example is not inflation. it is an increase of Price Level from the increase of money supply.
Doesn't really lower purchasing power over time, as wages will adjust accordingly.
use gold and silver, problem solved
what if we find a planet in our planet which is made out of 100% purity gold, already in bars? then there will be a surplus and you are fucked
Well gold and silver are constant (roughly) in terms of quantity. If we stopped printing money wouldn’t we have achieve basically the same thing? Only printing money to replace destroyed currency which keeps velocity constant
That's a horrible idea...
Because then you'd have deflation! Which is not good either!
Wal mart JUST jacked up the standard candy bar to $.74 for the first time ever. Thank you US govt, thank you Obama and your wasteful $1.3 trillion annual deficit were all paying for now.
why dont they just keep inflation at 0%. problem solved