By inflation, in a very simple language or meaning we mean a process of rising prices.  A situation is described as inflation  when either the prices or the supply of money are rising.  In the key Nesion sense, when there exists a state of full employment, the conditions will be clearly inflationary because output is irresponsive to change in money supply  and since we do not subscribe to the classical views that there is full employment, we can say that money supply increase. If other party increase of output and it partly  fixed in rise in price.  And when we supply of far behind.  His rise in prices is described as inflationary.

Advertisement

 

Definition :  Different economists have given different definition of inflation from tome to time:-

a)      According to Samulson “ By inflation means a time of generally rising price.”

b)      According to Shapins”Inflations is simply a persistent and appreciates  rise in general price level.”

 

Thus inflation we can say is that the situation in the economy where price of all commodities goes rise value of money.

Advertisement
The following two tabs change content below.
We, at BMS.co.in, believe in sharing knowledge and giving quality information to our BMS students. We are here to provide and update you with every details required by you BMSites! If you want to join us, please mail to [email protected]
0 Comments

Leave a reply

Your email address will not be published. Required fields are marked *

*

*

BMS.co.in is aimed at revolutionising Bachelors in Management Studies education, also known as BMS for students appearing for BMS exams across all states of India. We provide free study material, 100s of tutorials with worked examples, past papers, tips, tricks for BMS exams, we are creating a digital learning library.

Disclaimer: We are not affiliated with any university or government body in anyway.

©2020 BMS - Bachelor of Management Studies Community 

A Management Paradise Venture

Ask Us On WhatsApp
or

Log in with your credentials

or    

Forgot your details?

or

Create Account