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Group presentation

Masab Farooq(10)Fahad Sattar(06)Zaid Ali(29)Bilal Ahmed05

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Topic OfPresentation(1)Kinds Of

Ination(2)InationV/SDeatio

n

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Kinds of Ination(1)On The Basis O !a"ses(2) Anti#i$ated %&S "nanti#i$ated

in'ation()On The Basis O rate O

n'ation(*)On The Basis O de+ree O

#ontrol

(5) On The Basis O ,m$lo-ment

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 On The Basis Of ause1).emand /"ll n'ation

2)!ost /"sh n'ation)/rot nd"#ed n'ation*)B"d+etar- n'ation

5)Monetar- n'ation6)M"lti !as"al n'ation

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e!and Pu"" Ination#

Kinds of Ination

1)n'ation !a"sed b- in#reasin+ in a++re+atedemand

$actor1)n#rease in mone- s"$$l-2)n#rease in the demand or

+oods b- the +ot

)n#rease the in#ome o ario"sa#tor o $rod"#tion

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Kinds of Inationost Push Ination#

n#rease in #ost o $rod"#tion

ro%t Induced ination#

,ntre$rene"rs d"e to their

mono$ol- $osition raise the $rotmar+in on +oods

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Kinds of InationBud&etar' ination#

!o"ntr- #oers the b"d+et de#its thro"+h ban3borro4in+s and #reatin+ no4 mone-/"r#hasin+ $o4er o #omm"nit- in#reases 4itho"t ain#rease in $rod"#tion o +oods

onetar' ination#n'ation is #a"sed b- too ra$id in#rease in mone- s"$$l-

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nticipated ination#ate o in'ation 4hi#h maorit- o the indiid"als beliee 4illo##"r

*nanticipated ination#

ate o in'ation 4hi#h #omes as a s"r$rise to maorit- oindiid"als

nticipated V/s *nanticipat

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On the ,asis of rate of inatio

(1)!ree$in+ in'ation(2)7al3in+ in'ation()"nnin+ in'ation

(*)8-$er in'ation

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reepin& ination#(1)eneral $ri#es leel in#reases "$to a rate o 2: $er

ann"m(2)t is +enerall- #onsidered a ne#essar- #ondition o

e#onomi# +ro4th

-a".in& ination#

 The $ri#e rise is aro"nd 5: ann"al-

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unnin& ination# The $ri#e in#reases abo"t ; to 10: $er ann"m

0'per ination#

(1)t starts ater the leel o "ll em$lo-ment is rea#hed

(2)/ri#e leel rises er- ra$idl- 4ithin a short $eriod

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 the ,asis of de&ree of contro

(1)O$en n'ation

(2)S"$$ressed n'ation

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Open Ination#

n'ationar- $ro#ess in 4hi#h $ri#es are $ermitted torise 4itho"t bein+ s"$$ressed b- +oernment $ri#e

#ontrol or similar meas"res

Suppressed ination#

(1)ot ma3es e<orts to #he#3 and #ontrol the risein $ri#e leel thro"+h $ri#e #ontrol and rationin+(2)S"$$ressed in'ation res"lts man- eils s"#h as

bla#3 mar3etin+= hoardin+= #orr"$tion and$roteerin+

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) On the ,asis of e!p"o'!e

(1)/artial in'ation(2)F"ll in'ation

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Partia" ination#(1)eneral /ri#e leel raises $artl- d"e to an

in#rease n #ost o /rod"#tion

(2)And $artl- d"e to rise in s"$$l- o mone- beorethe "ll em$lo-ment sta+e is rea#hed

$u"" ination#(1),#onom- rea#hes the leel o "ll em$lo-ment(2)n#rease in mone- s"$$l- 4ill res"lt in the rise in

$ri#e leel 4itho"t an- in#rease in o"t$"t andem$lo-ment

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Ination s3 deation

7hile in'ationre$resents an oerall

"$4ard $ri#emoement o +oods andseri#es= de'ation a#tsadersel- 7e ta3e aloo3 at the basi#s o

both

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Ination

n'ation is a risein the +eneral

leel o $ri#es o+oods andseri#es in an

e#onom- oer a$eriod o time

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45ec

t- An in#rease in the +eneral leel o $ri#es- de#rease in the $"r#hasin+ $o4er o the

#"rren#-

-8i+h or "n$redi#table in'ation rates arere+arded as harm"l to an oeralle#onom-

- ma3e it di>#"lt or #om$anies to b"d+et

or $lan lon+?term- a<e#t the balan#e o trade- ne+atie im$a#ts to trade rom an

in#reased instabilit- in #"rren#-

e@#han+e $ri#es #a"sed b-

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Deation

.e'ation is ade#rease in the

+eneral $ri#e leel o+oods and seri#es

.e'ation o##"rs

4hen the in'ationrate alls belo4 0:(a ne+atie in'ationrate)

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45ects .e'ation is a $roblem in a modern e#onom-be#a"se it ma- a++raate re#essions and leadto a de'ationar- s$iral

 The e<e#ts o de'ation are

1 .e#reasin+ nominal $ri#es or+oods and seri#es2 n#reasin+ b"-in+ $o4er o#ash mone- and all assetsdenominated in #ash terms Ma- de#rease inestment andlendin+ i #ash holdin+s areseen as $reerable* Benets re#i$ients o @ed

in#omes

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T04 46D