Chapter 3 Purchasing Power

Front

Prices that rise rapidly and are out of control.

Back

hyperinflation

Front

High prices followed by declines and then high prices again.

Back

reflation

Front

Prices rising due to scarce resources or greater difficulty in obtaining resources.

Back

real cost inflation

Front

A decrease in the general price level of goods and services.

Back

deflation

Front

Rising prices as a result of consumers wanting to buy more goods and services than producers offer.

Back

demand-pull inflation

Front

Prices rising with a rate of increase that is slowing down.

Back

disinflation

Front

An increase in the general price level of goods and services.

Back

inflation

Front

A concept that says a dollar you receive in the future will be worth less than a dollar you receive today.

Back

time value of money

Front

The increase in prices as a result of rising producer costs.

Back

cost-push inflation

Front

Prices set to be competitive with the prices of similar products.

Back

market-based pricing