TRIVIA

1. INFLATION : It is the general rise in the level of prices over time in general or for a particular set of goods and services. High rates of inflation are caused by the high rates of growth which has an increase in the overall demand (real or apparent) and with currency appreciation. Inflation is basically measured on the basis of a number of indices like CPI(Consumer Price Index) , Cost of living Index, Producer Price Index, Commodity Price Index. A very small amount of inflation can be viewed as beneficial to the economy. With generally increasing prices, it is quite easy to adjust the relative prices. Inflation may compel producers to buy goods sooner or later depending on growth rate so Inflation is a kind of booster to the economy.