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What is Understanding Inflation and Its Causes about?

Inflation is defined as the rate of increase in the general price level of goods and services in an economy. The Consumer Price Index (CPI) and Wholesale Price Index (WPI) are commonly used measures of inflation. Factors that can cause inflation include increases in money supply, public expenditure, consumer spending, credit availability, and shortages in production factors. India is currently experiencing high inflation combined with high unemployment, indicating a period of stagflation due to the COVID-19

Author

Ashish Katta

Language

EN