Aggregate Supply
INFLATION Economic Growth
Unemployment
3/30/2023 1
, WHAT IS INFLATION?
A sustained increase in the average price level for goods and services
causing the value of money to fall. Inflation is measured by the
______________ and the current rate of inflation in the UK is __________
https://www.thetimes.co.uk/money-mentor/article/inflation-interest-rates/
READ ARTICLE ABOVE
3/30/2023 2
, INFLATION
Inflation is a sustained increase
in the average price level of the
economy
Deflation is a sustained fall in
the average price level of the
economy
Disinflation is a fall in the rate of
inflation
Stagflation refers to a situation
with persistent high inflation
combined with low economic
growth
, MISCONCEPTION- DEFLATION
If the general price increase goes from
10.4% to 8% has deflation taken place?
Explain your response.
3/30/2023 4
INFLATION Economic Growth
Unemployment
3/30/2023 1
, WHAT IS INFLATION?
A sustained increase in the average price level for goods and services
causing the value of money to fall. Inflation is measured by the
______________ and the current rate of inflation in the UK is __________
https://www.thetimes.co.uk/money-mentor/article/inflation-interest-rates/
READ ARTICLE ABOVE
3/30/2023 2
, INFLATION
Inflation is a sustained increase
in the average price level of the
economy
Deflation is a sustained fall in
the average price level of the
economy
Disinflation is a fall in the rate of
inflation
Stagflation refers to a situation
with persistent high inflation
combined with low economic
growth
, MISCONCEPTION- DEFLATION
If the general price increase goes from
10.4% to 8% has deflation taken place?
Explain your response.
3/30/2023 4
