Advertisements
Advertisements
प्रश्न
Can inflation lead to economic development? Give a reason for your answer.
उत्तर
Inflation is beneficial to the economy because as the economy grows, so does the demand for things. This increased demand pushes prices forward or higher, and suppliers try to meet the increased demand by increasing production. Increased output leads to additional job prospects, and the market will require more labour. This will help to improve the country's economic situation. As a result, we might conclude that moderate inflation promotes economic progress.
APPEARS IN
संबंधित प्रश्न
Define inflation.
Answer the following question in one or two sentences:
How does inflation affect moral values?
Explain its impact on the producers and salaried class.
What is galloping inflation?
Read the extract given below and answer the questions that follow:
|
ET Bureau, Aug 01, 2022 Food prices may not ease this fiscal deficit and can throw India’s monetary policy makers a tougher challenge in bringing down inflation and anchoring inflation expectation, Crisil said on Monday. The recent rise in food inflation is mainly supply shortages-led, driven by both global geopolitical conflicts and impact of local heat waves. Other factors such as rising input costs in agricultural production have played their part too. The surge in food prices is accompanied by high fuel and core inflation following the? Russia- Ukraine war, keeping inflation consistently above the Reserve Bank of India's upper target band of 6% for the past few months. “This has put monetary policy in a quandary and made it imperative for the central bank to look closely at factors pushing up food prices.” Crisil said, predicting overall CPI inflation at 6.8% and food inflation at 7% for the current fiscal. |
-
- What is meant by inflation? 2
- How is creeping inflation different from waling inflation? 2
- Explain the impact of inflation on: 3
- Wage earners and salaried class
- The investors
-
- What do you mean by division of labour? 2
- Explain any two advantages of division of labour. 3
- 'Labour as a factor of production differs from other factors of production.’ In this context explain any two features of labour. 2
What will happen to the value of money when price level rises? What is this phenomenon known as?
What is the meaning of inflation?
Inflation means ______.
Identify the incorrect statement from the following:
Which of the following statements are true and which are false? Give reasons.
- Inflation refers to a persistent upward movement of the general price level.
- Inflation results in higher level of unemployment.
- Purchasing power of money falls when price level rises.
- Creditors gain during inflation.
- Creeping inflation is regarded essential for economic growth.
