The Money Farm Team

What Jobs Are Affected By Recession?

Healthcare, food, consumer staples, and basic transportation are examples of generally inelastic industries that can thrive during economic downturns. During a public health emergency, they may also benefit from being classified as critical industries. Who is the hardest hit by a downturn? Rising unemployment, dropping property values, and the stock market decline all had an […]

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What Will Inflation Do To Mortgage Rates?

Inflation is a self-fulfilling prophecy. The longer it lasts, the more insidious its consequences become, with increased mortgage rates as an unwelcome side effect. Inflation devalues everything denominated in US dollars because it devalues the US dollar. Of course, this includes mortgage-backed securities, so when inflation is prevalent, MBS demand begins to decline. After all,

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How Recession Works?

During a recession, the economy suffers, individuals lose their jobs, businesses make less sales, and the country’s overall economic output plummets. The point at which the economy officially enters a recession is determined by a number of factors. In 1974, economist Julius Shiskin devised a set of guidelines for defining a recession: The most popular

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When Does Cost Push Inflation Occur?

Cost-push inflation (also known as wage-push inflation) happens when the cost of labour and raw materials rises, causing overall prices to rise (inflation). Higher manufacturing costs might reduce the economy’s aggregate supply (the total amount of output). Because demand for goods has remained unchanged, production price increases are passed on to consumers, resulting in cost-push

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