Post
Topic
Board Economics
Re: Inflation overpowers the value of money
by
livingfree
on 03/08/2023, 20:35:33 UTC
The causes of high inflation can be attributed to the following:
1. Excessive Government borrowing
2. Unwanted and unstable domestic policy
3. Unsatisfiable or lack of domestic production
And all of that results to low gdp as well.

In my country, some people talk about the "inflation of the excuses": Ukraine is at war? let's increase the price of everything; people keeps buying? let's keep increasing them.
I think this can be found everywhere. I hate to admit that I've observed the same thing that these things aren't just the result of the war. While many businessmen and merchants are just taking advantage of the situation.

Oil price goes up and being followed by the goods, and when it goes down these businessmen and merchants won't just go back to what it should be and they'll reason still about the inflation and high cost of everything.