Fill in the blank. Inflation is a persistent or sustained __________ in the average level of prices over a period over of time.

Fill in the blank. Inflation is a persistent or sustained increase in the __________ level of prices over a period over of time.

True or False. The UK government has a target for inflation of 2% (CPI).

Which price index is often used by businesses for wage settlements each year?

Which price index includes university fees, stockbroking prices, and new car prices?

Which price index includes the costs of housing?

Which price index meets international standards?

Which cause of inflation occurs when prices rise in the economy due to an increase in the costs of the factors of production?

Which cause of inflation occurs when excessive growth in demand in the economy results in shortages and firms raise prices?

What cause of inflation comes from an increase in commodity prices such as oil and wheat, or an increase in wages?

Which country experienced hyperinflation in the last 20 years?

If your interest rate for your savings account is 2% per year and the average inflation rate is 3% per year, what happens to the value of your savings account in real terms after 2 years?

If your interest rate for your savings account is 5% per year and the average inflation rate is 3% per year, what happens to the value of your savings account in real terms after 2 years?

Select all the limitations of CPI

True or False. Inflation is a persistent or sustained decrease in the average level of prices over a period over of time.

If the CPI is 71 in 2001 and 78 in 2002, calculate the rate of inflation from 2001 to 2002.

Select all of possible consequences of high inflation: