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CHANGES IN THE VALUE OF MONEY
Essay specific features
Written by:
Ramon O
Date added:
September 6, 2011
Level:
University
Grade:
A
No of pages / words:
3 / 630
Was viewed:
2080 times
Rating of current essay:
Essay content:
From Demand Side.
2. From Supply Side.
FACTORS OPERATING ON DEMAND SIDE
(1) Increase in money supply.
(2) Increase in government expenditure.
(3) Increase in private expenditure.
(4) Increase in population ? demand for goods & if demand is not met prices?.
(5) Black money.
FACTORS OPERATING ON SUPPLY SIDE
(1) Lacking Industrial and agriculture Production:
An increase in population, employment, urbanization or income exerts pressure on both sectors and if it can not meet the needs it will rise the prices
(2) Inadequate infrastructure facilities:
Shortage or inefficient use of power, transport, and communication facilities, it will have an effect on overall growth...
displayed 300 characters
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In Inflation and Reflation both, the money supply increases.
b. Both result in the upward movement of general price level.
Differences between Inflation and Reflation:
a. Inflation poses a serious problem of rising prices without any increase in output and employment
b. In Reflation, there is a moderate continuous rise in the price level leading to more production and employment...
displayed 300 characters
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