Inflation refers to the phenomenon of a decrease in the general purchasing power of money, resulting in a general ** price increase. According to different classification criteria, inflation can be classified into different types. Here are the common types of inflation:
1. According to the severity of inflation, it can be divided into crawling inflation, moderate inflation, galloping inflation and hyperinflation
Creeping inflation refers to the phenomenon of slow levels that usually do not cause significant socio-economic upheaval. Mild inflation refers to a phenomenon that is moderately leveled and usually does not have much of a negative socio-economic impact. Soaring inflation refers to the phenomenon of rapid levels that can cause socio-economic disruption. Hyperinflation refers to the phenomenon of extreme level speed, which will lead to a sharp depreciation of the value of the currency and a serious chaos in the economic order.
2. According to the causes of inflation, it can be divided into demand-driven inflation, cost-push inflation, imported inflation and structural inflation
Demand-driven inflation refers to the phenomenon that the growth rate of aggregate social demand exceeds the growth rate of aggregate social supply, resulting in the continuous increase of prices. Cost-push inflation refers to the phenomenon of rising costs leading to prices**. Imported inflation refers to the phenomenon of general domestic prices due to imported goods. Structural inflation refers to the phenomenon of rising production costs in a certain industry or sector, resulting in prices in that industry or sector, which in turn affects the entire economy.
3. According to the manifestations of inflation, it can be divided into explicit inflation and implicit inflation
Explicit inflation refers to the phenomenon of general prices and significant depreciation of the value of money. Implicit inflation refers to the fact that although the value of money has not depreciated significantly, the ** of goods and services is regulated, leading to the emergence of the black market and the distortion of **.
To sum up, different types of inflation have different impacts on the economy. Understanding the types and causes of inflation can help you better understand the impact of inflation on the economy and take appropriate policy measures to deal with it. Search Topic Full Time Challenge in January