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प्रश्न
Why is creeping inflation considered good for an economy?
Creeping inflation is regarded essential for economic growth. Give reasons.
A mild inflation is beneficial for economic growth. Justify the statement.
उत्तर १
It is regarded as safe and essential for growth because it keeps the economy away from stagnation.
उत्तर २
A mild inflation or creeping inflation is beneficial for economic growth. Increasing prices of goods and services generally lead to an increase in the profit margin. This induces the producers to undertake more investment. As a result, the level of output and employment increases in the economy. In this way, mild inflation is regarded as essential for economic growth.
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संबंधित प्रश्न
Define the term demand.
Explain the following:
Creeping inflation
Define supply.
Explain four causes of inflation.
Discuss the effects of inflation on Producers.
Supply always refers to a specific desired quantity which a seller is willing to ______
When a straight-line supply curve cuts the y-axis, the elasticity of supply will be ______.
What will be the effect of raising production subsidies on the supply of a commodity?
______ means a wish to have a commodity or source.
In economics demand and price have ______ relationship.
