2017•RePEc: Research Papers in EconomicsRequires access

Aspects Of The Main Effects Of Inflation

Radu Marinescu, Doina Burea, Tudor Samson

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Abstract

Inflation is present in any economy, so it can not be fully controlled but only influenced. When inflation rises, an imbalance is created because prices are rising and the purchasing power of the national currency decreases. Inflation affects different people differently. This is because of the drop in the value of money. When the price increases or decreases the value of money, some groups of the company win, and others lose.

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Inflation is present in any economy, so it can not be fully controlled but only influenced. When inflation rises, an imbalance is created because prices are rising and the purchasing power of the national currency decreases. Inflation affects different people differently. This is because of the drop in the value of money. When the price increases or decreases the value of money, some groups of the company win, and others lose.

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Available abstract

Inflation is present in any economy, so it can not be fully controlled but only influenced. When inflation rises, an imbalance is created because prices are rising and the purchasing power of the national currency decreases. Inflation affects different people differently. This is because of the drop in the value of money. When the price increases or decreases the value of money, some groups of the company win, and others lose.

Key concepts: Economics, Inflation (cosmology), Purchasing power, Monetary economics, Currency, Value (mathematics), Store of value, Real interest rate

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