ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Inflation is a sustained, generalized increase in the prices of goods and services in an economy.

Detailed explanation-2: -Inflation is the rate of increase in prices over a given period of time. Inflation is typically a broad measure, such as the overall increase in prices or the increase in the cost of living in a country.

Detailed explanation-3: -Inflation is an increase in the overall price level. The official inflation rate is tracked by calculating changes in a measure called the consumer price index (CPI). The CPI tracks changes in the cost of living over time.

Detailed explanation-4: -The consensus view among economists is that sustained inflation occurs when a nation’s money supply growth outpaces economic growth.

Detailed explanation-5: -Based on speed, there are 4 different types of inflation – hyperinflation, galloping, walking, and creeping.