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    The essay will identify the concept of inflation which is relating to macroeconomics. The discussion will be on what causes inflation and how it impacts different variables of an economy such as consumers and businesses everyday using current examples to illustrate the effect of inflation and what most governments do to tackle it. 

    HARVARD
    Peyton, Mariam (2018) "Evaluate the causes of inflation and the dangers it poses and the policies and ways that can be implemented to reduce inflation" 123 Writing [Online] at https://www.123writing.com/free-sample/evaluate-the-causes-of-inflation-and-the-dangers-it-poses-and-the-policies-and-ways-that-can-be-implemented-to-reduce-inflation

    APA
    Peyton, M. 2018. Evaluate the causes of inflation and the dangers it poses and the policies and ways that can be implemented to reduce inflation. 123 Writing. Retrieved from https://www.123writing.com/free-sample/evaluate-the-causes-of-inflation-and-the-dangers-it-poses-and-the-policies-and-ways-that-can-be-implemented-to-reduce-inflation

     

    1.0 INTRODUCTION


    The essay will identify the concept of inflation which is relating to macroeconomics. The discussion will be on what causes inflation and how it impacts different variables of an economy such as consumers and businesses everyday using current examples to illustrate the effect of inflation and what most governments do to tackle it. Whats inflation, anway?

    Inflation can be termed as the rise of general prices and associated fall in the value of money. Generally speaking, anything that drives up prices can be said to be inflationary while anything that drives down prices is said to be deflationary. These shifts can also be down to the demand side or aggregate supply side. However, the common feeling is that inflation is not a big problem until it either becomes high or starts to rise or both (Valdez and Molineux 2010).

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