What is inflation what are the causes of

Question

Questions:

What is inflation? What are the causes of inflation? Is inflation desirable and what can be done to control inflation in a market economy?

What is the Consumer Price Index (CPI)? How has the CPI behaved since the year 2000? What have been the causes of these changes?

In your response, include a graph of the CPI for this period and cite your source.

What is the Producer Price Index (PPI)? How has the PPI behaved since the year 2000? What have been the causes of these changes? In

your response, include a graph of the PPI for this period and cite your source.

What is the Consumer Expenditure Survey (CE)? How has the Survey behaved since the year 2000? What have been the causes of these

changes? In your response, include a graph of the CE for this period and cite your source.

What do the measures above tell us about consumer behavior? Have incomes changed enough to offset the inflation since 2000? What

can we predict about future inflation?

What are the implications of these measures for government economic policies?

Answer 1

Make sure to read the entire Microeconomics problem, answer the following questions by applying the proper principles in MLA format. Q1. What do you mean by the term inflation? Illustrate what are the causes of inflation? Is inflation enviable and what can be done to control the inflation in a market economy? Q2. Determine the Consumer Price Index (CPI)? Explain how has the CPI behaved since the year 2000? Illustrate what have been the causes of such changes? Q3. In your reply, comprise a graph of CPI for this period and cite your resources. Q4. What do you mean by Producer Price Index (PPI)? Explain how has the PPI behaved since the year 2000? What have been the causes of such changes? In your reply, comprise a graph of the PPI for this period. Q5. What do you mean by Consumer Expenditure Survey (CE)? Explain how has the Survey behaved since the year 2000? Illustrate what have been the causes of such changes?