UPSC Exam > UPSC Videos > Indian Economy (Prelims) by Shahid Ali > Inflation - Economics, UPSC IAS Exam Preparation
Inflation - Economics, UPSC IAS Exam Preparation Video Lecture | Indian Economy (Prelims) by Shahid Ali
|
36 videos|62 docs|78 tests
|
FAQs on Inflation - Economics, UPSC IAS Exam Preparation Video Lecture - Indian Economy (Prelims) by Shahid Ali
| 1. What is inflation? |  |
Ans. Inflation refers to the sustained increase in the general price level of goods and services in an economy over a period of time. It is often measured as an annual percentage increase and can erode the purchasing power of money. Inflation can be caused by various factors such as increased demand, supply shocks, changes in government policies, or changes in the money supply.
| 2. How is inflation measured? | |
Ans. Inflation is typically measured using various price indices, with the most commonly used being the Consumer Price Index (CPI) and the Wholesale Price Index (WPI). These indices track the changes in the prices of a basket of goods and services over time. By comparing the current prices with a base year, the inflation rate can be calculated.
| 3. What are the effects of inflation on the economy? | |
Ans. Inflation can have several effects on the economy. Firstly, it reduces the purchasing power of money, as the same amount of money can buy fewer goods and services. This can lead to a decrease in consumer spending and investment. Secondly, inflation can affect the distribution of income and wealth, as those with fixed incomes or assets may suffer while those with flexible incomes or assets may benefit. Additionally, inflation can also impact the borrowing and lending behavior, as lenders may charge higher interest rates to compensate for the eroding value of money.
| 4. How does the government control inflation? | |
Ans. Governments use various monetary and fiscal policies to control inflation. Monetary policies include actions by the central bank, such as increasing interest rates, reducing the money supply, or changing reserve requirements for banks. Fiscal policies involve changes in government spending and taxation to influence aggregate demand. These measures aim to reduce excessive demand in the economy, thereby curbing inflationary pressures.
| 5. What are the different types of inflation? | |
Ans. There are several types of inflation based on their causes and effects. Demand-pull inflation occurs when aggregate demand exceeds the available supply of goods and services. Cost-push inflation happens when the costs of production, such as wages or raw materials, rise and are passed on to consumers. Built-in inflation refers to the expectations of future inflation that become self-fulfilling. Hyperinflation is an extreme form of inflation characterized by an extremely rapid and out-of-control increase in prices.
Related Exams
About this Video
|
4.92/5 Rating |
|
Dec 22, 2024 Last updated |
Video Description: Inflation - Economics, UPSC IAS Exam Preparation for UPSC 2024 is part of Indian Economy (Prelims) by Shahid Ali preparation.
The notes and questions for Inflation - Economics, UPSC IAS Exam Preparation have been prepared according to the UPSC exam syllabus.
Information about Inflation - Economics, UPSC IAS Exam Preparation covers all important topics for UPSC 2024 Exam.
Find important definitions, questions, notes, meanings, examples, exercises and tests below for Inflation - Economics, UPSC IAS Exam Preparation.
Introduction of Inflation - Economics, UPSC IAS Exam Preparation in English is available as part of our Indian Economy (Prelims) by Shahid Ali for UPSC & Inflation - Economics, UPSC IAS Exam Preparation in
Hindi for Indian Economy (Prelims) by Shahid Ali course. Download more important topics related with notes, lectures and mock test series for
UPSC Exam by signing up for free.
Description
Video Lecture & Questions for Inflation - Economics, UPSC IAS Exam Preparation Video Lecture | Indian Economy (Prelims) by Shahid Ali - UPSC full syllabus preparation | Free video for UPSC exam to prepare for Indian Economy (Prelims) by Shahid Ali.
Information about Inflation - Economics, UPSC IAS Exam Preparation
Here you can find the meaning of Inflation - Economics, UPSC IAS Exam Preparation defined & explained in the simplest way possible.
Besides explaining types of Inflation - Economics, UPSC IAS Exam Preparation theory, EduRev gives you an ample number of questions to practice Inflation - Economics, UPSC IAS Exam Preparation tests,
examples and also practice UPSC tests.
|
36 videos|62 docs|78 tests
|
|
Explore Courses for UPSC exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
Related Searches
Important questions
,video lectures
,shortcuts and tricks
,Inflation - Economics
,Semester Notes
,practice quizzes
,Extra Questions
,MCQs
,past year papers
,Inflation - Economics
,UPSC IAS Exam Preparation Video Lecture | Indian Economy (Prelims) by Shahid Ali
,Exam
,study material
,mock tests for examination
,Previous Year Questions with Solutions
,Summary
,Viva Questions
,ppt
,Inflation - Economics
,Free
,Sample Paper
,UPSC IAS Exam Preparation Video Lecture | Indian Economy (Prelims) by Shahid Ali
,UPSC IAS Exam Preparation Video Lecture | Indian Economy (Prelims) by Shahid Ali
,Objective type Questions
;
Study Inflation - Economics, UPSC IAS Exam Preparation on the App
Students of UPSC can study Inflation - Economics, UPSC IAS Exam Preparation alongwith tests & analysis from the EduRev app,
which will help them while preparing for their exam. Apart from the Inflation - Economics, UPSC IAS Exam Preparation,
students can also utilize the EduRev App for other study materials such as previous year question papers, syllabus, important questions, etc.
The EduRev App will make your learning easier as you can access it from anywhere you want.
The content of Inflation - Economics, UPSC IAS Exam Preparation is prepared as per the latest UPSC syllabus.
|
© EduRev
|
Education Revolution
|
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup