ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Creeping inflation arises when the price level steadily grows at a low rate over a long period of time. Moderate inflation is defined as a rate of inflation that is less than 10% annually or in the single digits. Inflation is denoted as the rate at which costs rise over a certain span of time.

Detailed explanation-2: -This type of inflation occurs when the price level persistently rises over a period of time at a mild rate. When the rate of inflation is less than 10 per cent annually, or it is a single digit inflation rate, it is considered to be a moderate inflation.

Detailed explanation-3: -Creeping, or mild, inflation occurs when prices rise slowly. According to the Federal Reserve, when prices increase by 2% or less, it benefits economic growth. This kind of mild inflation makes consumers expect that prices will keep going up, which boosts demand.

Detailed explanation-4: -2.1 Demand Pull Inflation. 2.2 Cost-Push Inflation. 2.3 Open Inflation. 2.4 Repressed Inflation. 2.5 Hyper-Inflation. 2.6 Creeping and Moderate Inflation. 2.7 True Inflation. 2.8 Semi-Inflation.