(I’m American) Inflation is the rising cost of goods and services. Inflation constantly goes up by varying degrees. When economists say “inflation is decreasing”, that just means that the rate of inflation has slowed, not that inflation reversed.
If inflation is causing money to be less valuable over time, why would it be bad to have deflation? Would that not make my money more valuable? I’ve been told it would be very bad, but not in a way that I understand
In: Economics
Can anyone here explaining how inflation is vital also please explain what happens when wages continue to not rise in line with inflation, after longer periods of time? If everything just becomes more expensive and the majority of people can’t afford basic things? LI5
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