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Financial Terms

Inflation

It is caused by an increase in the money supply, which leads to more money chasing the same amount of goods and services. Inflation is a concept that is often discussed in the world of finance. It refers to the overall rise in prices of goods and services, typically measured as a percentage. This means that over time, the same amount of money will buy you less than it did before. The root cause of inflation is an increase in the money supply, which results in a higher demand for goods and services, leading to an increase in prices.
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