Inflation rate


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Inflation Rate

A measure of how fast a currency loses its value. That is, the inflation rate measures how fast prices for goods and services rise over time, or how much less one unit of currency buys now compared to one unit of currency at a given time in the past. The inflation rate may increase due to massive printing of money, which increases supply in the economy and thus reduces demand. Equally, it may occur because certain important commodities become rarer and thus more expensive. Central banks attempt to control the inflation rate by increasing and decreasing the money supply. The inflation rate is important to fixed-income securities, as the returns on these securities may not keep up with inflation, and thus result in a net loss for the investor. See also: CPI, Deflation.

Inflation rate.

The inflation rate is a measure of changing prices, typically calculated on a month-to-month and year-to-year basis and expressed as a percentage.

For example, each month the Bureau of Labor Statistics calculates the inflation rate that affects average urban US consumers, based on the prices for about 80,000 widely used goods and services. That figure is reported as the Consumer Price Index (CPI).

References in periodicals archive ?
Monthly inflation rate in most of this year remained within the government's 2 to 4-percent target band, although an uptick was registered last May to 3.2 percent from month-ago's 3 percent.
Of the five provinces in the region, only Davao del Norte exhibited an increase in inflation rate to 2.4% in June this year, from 2.1% during the previous month.
Higher inflation rates were reported by Romania (4.1 percent) and Hungary (3.3 percent).
At the regional level, the Deputy Government Statisticians observed that the year-on-year inflation rate ranged from 8.5 percent for Upper East region as compared to 11.1 percent for Upper West region.
The Philippine Statistics Authority (PSA) announced Friday that last month's headline inflation rate was the lowest since the 2.6 percent posted in August 2017.
Panelo said the government has "decisively" addressed the country's inflation rate, which eased in June due to lower food and fuel prices.
'The general point to point inflation rate reached 5.55 percentage point in March which was 5.47percentage point in February," said Planning Minister MA Mannan while releasing the monthly consumer price index after an ECNEC meeting at the NEC Conference Room in the city's Sher-e-Bangla Nagar area.
'FSDH Research notes that one of the ways to reduce Nigeria's inflation rate in a sustainable manner is to improve the infrastructure in the country.
The stability of the manat rate was one of the factors that have played the main role in reducing inflation rate.
I believe that such government measures, coupled with the strengthening peso and softening petroleum prices in the world market, would further tame the inflation rate in December and the first quarter of 2019.
The Acting Government Statistician said the year-on-year non-food inflation rate for October 2018 was 9.8 per cent compared with the rate of 10.3 per cent recorded in September 2018.
According to the report, Pakistan's annual inflation rate jumped to 7 per cent in October from 5.12 per cent a month earlier.