Should inflation vigorously develop productive forces and expand effective demand?

Updated on Financial 2024-03-03
10 answers
  1. Anonymous users2024-02-06

    Inflation refers to the phenomenon of sustained and widespread price depreciation for a period of time caused by the fact that the money supply is greater than the actual demand for money, that is, the actual purchasing power is greater than the output supply, which leads to the depreciation of the currency. Its essence is that the aggregate demand of society is greater than the aggregate supply of society (supply is much less than demand). It is divided into three types:

    Demand-Driven Inflation, Cost-Driven Inflation, and Inherently Inflationary (also known as "inertial inflation", "structural inflation"). What you said is one transmission route, but what you didn't say about another transmission route, that is, after enterprises expand production, products increase, supply exceeds demand, and prices fall. There is this conduction route, which is opposite to what you say about the conduction route, and the result is not necessarily.

    Inflation refers to the depreciation of paper money due to excessive currency issuance under the condition of paper money circulation. Don't get confused with the real influencers.

  2. Anonymous users2024-02-05

    This is a bit one-sided. Moderate inflation will drive economic development. Remember that the explanation for inflation is that prices persist.

    The market will automatically correct according to supply and demand. When prices persist, the state will adopt fiscal policy and monetary policy to adjust.

  3. Anonymous users2024-02-04

    This is a somewhat confusing question, because inflation is now a big multifaceted problem.

    First understand what inflation is.

    Inflation refers to the phenomenon of continuous and widespread price depreciation for a period of time caused by the fact that the supply of money is greater than the actual demand for money, that is, the actual purchasing power is greater than the supply of output, which leads to the depreciation of the currency. Its essence is that the aggregate demand of society is greater than the aggregate supply of society (supply is much less than demand).

    The typical form of manifestation is the price of goods**.

    There are many solutions: 1 Reducing inflation through recession (reducing the rate of economic development), mainly by using tight fiscal and monetary policies, including raising taxes, reducing investment and purchases; Monetary policy is mainly to raise interest rates.

    2. Income policy. ** Reducing people's incomes through coercive control of wages and prices; ** Moral persuasion to dissuade businesses and workers from raising prices or wages; ** Inflation can be broken by taking steps to change people's inflation expectations.

    4.According to the manifestations of inflation, it can be divided into: open inflation and hidden inflation.

    To sum up, the solutions are as follows: 1. Increase the regulation and control of the market, establish an effective regulation and control mechanism, and stabilize prices in a timely manner. 2. Establish an effective market system to enhance the market's resistance to various economic risks and strengthen the market's resilience in times of economic crisis.

    self-regulation of the market).

  4. Anonymous users2024-02-03

    Personally, I think that it can be solved by developing production. Vigorously developing production, of course, includes the production of basic means of production

  5. Anonymous users2024-02-02

    The key is who is willing to live Lei Feng, you could buy a house for 100,000 yuan 20 years ago, but now you can only buy a toilet, it doesn't matter, I am Lei Feng, I sell. ”

  6. Anonymous users2024-02-01

    You don't deserve anything. I love her.

  7. Anonymous users2024-01-31

    Moderate inflation is conducive to the development of productive forces. ()

    a.That's right. b.Mistake.

    Correct Hidden God Answer: a

  8. Anonymous users2024-01-30

    Demand-driven inflation, also known as excess demand inflation, refers to the fact that aggregate demand exceeds aggregate supply, resulting in a sustained and significant overall price level. This inflation is considered "too much money and too few goods".

    Demand pull refers to the fact that the advertising curve moves to the upper right, because the aggregate supply remains unchanged in the long run, so under the new equilibrium, but the supply remains the same, resulting in inflation.

    AD is the aggregate demand curve, and so is the aggregate supply curve. The aggregate supply curve at the initial level. This means that when total production is low, an increase in total demand does not lead to ****.

    The intersection of the aggregate demand curve and the aggregate supply curve determines the level of output from zero to a stable level. When the total output is reached, the increase in the total supply will encounter the so-called bottleneck phenomenon in production, that is, the shortage of labor, raw materials, production equipment, etc., will increase the cost, which will lead to an increase in the ** level.

    As the aggregate demand curve AD continues to rise in the chart, the aggregate supply curve AD begins to gradually slope to the upper right, and the ** level gradually rises.

  9. Anonymous users2024-01-29

    Demand-pull inflation, also known as excess demand inflation, refers to the sustained and significant level of aggregate demand caused by aggregate demand exceeding aggregate supply. This inflation is considered "too much money chasing too few goods". The demand-pull type is that the AD curve shifts to the upper right, because the long-term total supply AS is unchanged, so the new equilibrium point ** increases, but the supply remains unchanged, resulting in inflation.

    Now Figure 1-65 illustrates demand-driven inflation.

    In the figure, the horizontal axis represents the total output (national income) and the vertical axis p represents the average level. AD is the aggregate demand curve and AS is the aggregate supply curve. The aggregate supply curve AS is initially horizontal.

    This means that when total production is low, an increase in aggregate demand does not cause a boom. In Figure 1-65, the yield increases from zero to , and the ** level is always stable. The intersection of the aggregate demand curve and the aggregate supply curve as determines the ** level of , and the aggregate output level is .

    When the total output is reached, continue to increase the total supply, and the so-called bottleneck phenomenon in production will be encountered, that is, the cost will increase due to the shortage of labor, raw materials, production equipment, etc., which will cause the highest level. When the aggregate demand curve AD continues to increase, the aggregate supply curve AD begins to gradually slope to the upper right, and the level is gradually. The intersection of the aggregate demand curve and the aggregate supply curve as determines the **level of , and the aggregate output is .

    When the output reaches its maximum, that is, the output of full employment, the economic resources of the whole society are fully utilized. The intersection of the aggregate demand curve and the aggregate supply curve as in the graph determines the ** level of , and the total output is . The phenomenon of levels from P1 to P2 and P3 is known as bottleneck inflation.

    After reaching the full employment of the output yf, if the aggregate demand continues to increase, the aggregate supply will not increase, so the aggregate supply curve as is vertical. At this point, the increase in aggregate demand will only cause **level**. For example, when the aggregate demand AD3 increases from AD4 to AD4, the aggregate output determined by the intersection of its and the aggregate supply curve does not increase, but it remains at the level of P3 to P4.

    This is demand-driven inflation. Western economists believe that whether the excessive growth of aggregate demand comes from consumption demand, investment demand, or from ** demand and foreign demand, it will lead to demand-led inflation. The reasons or shocks on the demand side mainly include sudden changes in fiscal policy, monetary policy, and consumption habits, as well as changes in demand in the international market.

  10. Anonymous users2024-01-28

    In terms of fiscal policy, we will reduce fiscal expenditure and reduce the construction of public projects; In terms of monetary policy, the amount of money supply will be reduced, and the interest rate will be raised to reduce the demand for investment. In terms of consumption policy, the growth of consumer credit will be restricted and consumer demand will be reduced.

    Introduction: Demand-pull inflation is also known as excess demand-driven inflation, also known as Phillips curve inflation. It was Keynes who first proposed that aggregate demand exceeded aggregate supply, pulling away"Inflatable notch", resulting in a general persistence of the price level**, i.e. to"Too much money pursues too few goods"。

    The main factors are: ** fiscal expenditure exceeds fiscal revenue and forms a fiscal deficit, and mainly relies on fiscal overdraft to make up for it; The aggregate demand for domestic investment exceeds the sum of total domestic savings and foreign capital inflows"Investment is inflated";The aggregate demand for domestic consumption exceeds the sum of the supply of consumer goods and the sum of imported consumer goods, forming the so-called"Consumption is inflated"。

    Causes: The direct cause of inflation is the increase in the country's fiscal deficit. ** In order to save the economic crisis or make up for the huge fiscal deficit, the indiscriminate issuance of paper money regardless of the actual needs of commodity circulation.

    The reason why they want to use this method to cover the fiscal deficit is that it is more hidden and easier to implement than such methods as raising taxes and issuing additional government bonds.

    Impact: Inflation is an important means by which the bourgeoisie or the ruling class intensifies the exploitation and plundering of the working people at the grassroots level. Inflation is first and foremost a catastrophe for workers and peasants.

    It has led to a constant decline in prices and the purchasing power of money, which has led to a sharp drop in the real wages of workers and an increasingly impoverished life.

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