Definition of Inflation:
The action of inflating something or the condition of being inflated.
A general increase in prices and fall in the purchasing value of money.
Inflation can be contrasted with deflation, which occurs when prices instead decline.
A sustained, rapid increase in prices, as measured by some broad index (such as Consumer Price Index) over months or years, and mirrored in the correspondingly decreasing purchasing power of the currency. It has its worst effect on the fixed-wage earners, and is a disincentive to save.
There is no one single, universally accepted cause of inflation, and the modern economic theory describes three types of inflation: (1) Cost-push inflation is due to wage increases that cause businesses to raise prices to cover higher labor costs, which leads to demand for still higher wages (the wage-price spiral), (2) Demand-pull inflation results from increasing consumer demand financed by easier availability of credit; (3) Monetary inflation caused by the expansion in money supply (due to printing of more money by a government to cover its deficits). See also deflation and hyperinflation. Inflation vs Deflation
Most of us dont stop to think about it, but the value of a dollar is always changing. It swings up and down with the financial fortunes of the United States. Sometimes a dollar is worth more than others, and sometimes it seems like a dollar is worth nearly nothing. The differences in the value of a dollar from one point to another are caused by inflation and deflation. Inflation
When a dollar buys less than you would expect it to, we call that inflation. Inflation is caused by a variety of factors, but most of them are related to interest and debt. When the Federal Reserve bank raises interest rates, it causes the dollar to inflate. There is more money in the system, so every dollar is worth just a little bit less. Deflation
Deflation is the opposite of inflation. When there are fewer dollars to go around, every one of them is worth more in terms of real goods and property. Deflation comes about when interest rates are low, and when the economy is performing better than the rest of the world. Deflation makes it cheaper to buy things in the store, but companies who sell their products overseas often see a slowdown in sales.
Inflation is a quantitative measure of the rate at which the average price level of a basket of selected goods and services in an economy increases over some period of time. It is the rise in the general level of prices where a unit of currency effectively buys less than it did in prior periods. Often expressed as a percentage, inflation thus indicates a decrease in the purchasing power of a nation’s currency.
Synonyms of Inflation
Barnumism, Access, Accession, Accretion, Accrual, Accruement, Accumulation, Addition, Advance, Affectation, Aggrandizement, Amplification, Appreciation, Ascent, Augmentation, Ballooning, Ballyhoo, Bedizenment, Big price tag, Big talk, Bloat, Bloatedness, Bloating, Blowing up, Boom, Boost, Bottom price, Breaking point, Broadening, Buildup, Burlesque, Business index, Caricature, Ceiling, Ceiling price, Command of language, Consumer price index, Convolution, Cost-of-living index, Crescendo, Demand curve, Development, Diastole, Dilatation, Dilation, Distension, Dropsy, Edema, Elevation, Enhancement, Enlargement, Exaggerating, Exaggeration, Excess, Exorbitance, Expansion, Expression of ideas, Extension, Extortionate price, Extravagance, Extreme, Extreme tension, Famine price, Fancy price, Fashion, Feeling for words, Flashiness, Flatulence, Flatulency, Flatus, Flood, Floor, Floor price, Form of speech, Fulsomeness, Gain, Garishness, Gassiness, Gaudiness, Good price, Grace of expression, Grandiloquence, Grandioseness, Grandiosity, Greatening, Growth, Gush, Heightening, High price, High-flown diction, Hike, Hot economy, Huckstering, Hyperbole, Hyperbolism, Increase, Increment, Inflatedness, Inflationary gap, Inflationary pressure, Inflationary prices, Inflationary spiral, Inordinacy, Intumescence, Jump, Leap, Lexiphanicism, Literary style, Loftiness, Luridness, Luxury price, Magnification, Magniloquence, Manner, Manner of speaking, Mannerism, Mere rhetoric, Meretriciousness, Meteorism, Mode, Mode of expression, Mounting, Multiplication, Orotundity, Ostentation, Ostentatious complexity, Overdistension, Overdrawing, Overemphasis, Overestimation, Overexpansion, Overextension, Overkill, Overstatement, Overstrain, Overstraining, Overstretching, Peculiarity, Personal style, Platitudinous ponderosity, Polysyllabic profundity, Pomposity, Pompous prolixity, Pompousness, Pontificality, Pontification, Pretension, Pretentiousness, Pretty penny, Price ceiling, Price index, Price level, Prodigality, Productiveness, Profuseness, Proliferation, Prose run mad, Puff, Puffery, Puffiness, Puffing, Puffing up, Rack rent, Raise, Rhetoric, Rhetoricalness, Rise, Rising prices, Scarcity price, Self-importance, Sensationalism, Sense of language, Sententiousness, Showiness, Snapping point, Snowballing, Soaring costs, Spiraling prices, Spread, Stiff price, Stiltedness, Strain, Straining, Stretch, Stretching, Stuffiness, Style, Stylistic analysis, Stylistics, Superlative, Surge, Swell, Swellage, Swelling, Swelling utterance, Swollen phrase, Swollenness, Tall talk, Tension, The grand style, The plain style, The sublime, Top price, Tortuosity, Tortuousness, Touting, Travesty, Trick, Tumefaction, Tumescence, Tumidity, Tumidness, Turgescence, Turgidity, Turgidness, Tympanism, Tympany, Up, Upping, Upsurge, Upswing, Uptrend, Upturn, Vein, Waxing, Way, Widening, Windiness, Increase, Gain, Growth, Rise, Mounting, Inflation, Escalation, Exaggeration, Overemphasis, Magnification, Amplification, Overplaying, Dramatization, Colouring, Embroidery, Embellishment, Enhancement, Inflation, Extravagance, Hyperbole, Excessiveness, Overestimation, Overvaluation, Aggrandizement
How to use Inflation in a sentence?
- The inflation of a balloon.
- Ideally, an optimum level of inflation is required to promote spending to a certain extent instead of saving, thereby nurturing economic growth.
- Inflation is classified into three types: Demand-Pull inflation, Cost-Push inflation, and Built-In inflation.
- Minimum wage has yet to increase in some states to accommodate recent inflation in the American dollar, which causes lower income families to struggle.
- While some people believe storing their cash in a safe will keep it secure, the value of their money will likely decline over time due to inflation.
- Most commonly used inflation indexes are the Consumer Price Index (CPI) and the Wholesale Price Index (WPI).
- People holding cash may not like inflation, as it erodes the value of their cash holdings.
- Policies aimed at controlling inflation.
- Those with tangible assets, like property or stocked commodities, may like to see some inflation as that raises the value of their assets.
- Inflation is the rate at which the general level of prices for goods and services is rising and, consequently, the purchasing power of currency is falling.
- Inflation can be viewed positively or negatively depending on the individual viewpoint and rate of change.
- In the 1970s, inflation was very high and consumers suffered because the prices of necessary commodities like food, gasoline, and homewares increased rapidly from year to year.
Meaning of Inflation & Inflation Definition