Understanding Inflation and Its Impact

What does inflation mean?

• Prices go down

• Prices go up

• Prices stay the same

• Shops close

Which of these can cause inflation?

• More money is printed

• People stop buying things

• Shops give things away for free

• There is less money in the country

• The price has gone down

• The price has gone up

• The price is the same

• The shop is closed

What happens to your money when there is inflation?

• You can buy more things

• You can buy fewer things

• You get more money

• Nothing changes

Which country had to use lots of money to buy bread because of hyperinflation a long time ago?

• Australia

• Germany

• New Zealand

• India

If you have \$10 and prices go up, what happens?

• You can buy more things

• You can buy the same things

• You can buy fewer things

• You get more money

Which of these is NOT a cause of inflation?

• More people want to buy things

• Factories make things more expensive

• Shops lower their prices

• The government prints more money

• \$1

• \$2

• \$5

• \$10

What is hyperinflation?

• Prices go up very slowly

• Prices go up a little bit

• Prices go up very fast

• Prices go down

If you keep your money in a piggy bank and prices go up, what happens to your savings?

• You can buy more with your savings

• You can buy less with your savings

• Your savings grow by themselves

• Your savings turn into coins