Economics

Do We Have Inflation?

Inflation isn’t going away anytime soon. In fact, prices are rising faster than they have been since the early 1980s. According to the most current Consumer Price Index (CPI) report, prices increased 7.9% in February compared to the previous year. Since January 1982, this is the largest annualized increase in CPI inflation. Even when volatile

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How To Tell If An Economy Is In A Recession?

A recession is a prolonged period of low economic activity that might last months or even years. When a country’s economy faces negative gross domestic product (GDP), growing unemployment, dropping retail sales, and contracting income and manufacturing metrics for a protracted period of time, experts call it a recession. Recessions are an inescapable element of

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What Is The Appropriate Goal For The Inflation Rate?

Following the financial crisis of 2008-2009, the Federal Reserve made inflation targeting a top priority in January 2012. The Federal Reserve hoped that by stating inflation rates as an explicit aim, it would assist them achieve its dual mandate of low unemployment and stable prices. Despite the Federal Reserve’s best efforts, inflation tends to hover

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