Why does social development always carry a certain amount of inflation?

Updated on society 2024-07-01
8 answers
  1. Anonymous users2024-02-12

    The most direct manifestation of social development is the expansion of the population, the complexity of social relations, and the higher standard of living.

    Therefore, in order to support social development, it is necessary to expand the scale of production and solve the problems of employment and demand.

    With large-scale production and the guarantee of continuity and circularity of production, there will be surplus value and value reuse.

    The more active human activity reflects the continuous accumulation of the value of wealth, and how to express this wealth is through monetary denomination, such as the specific amount of deposits.

    People will seek to save more money (or in kind), so the price of people who sell things, including those who sell labor, will rise. This is why wages and prices rise at the same time, in fact, wages are also a kind of prices, that is, labor **.

    I don't know if what I'm saying is popular enough. This is a basic economic law, which has nothing to do with money, which is the commodity intermediary and the symbol of the unit of denomination, and is the product of this basic economic law.

  2. Anonymous users2024-02-11

    Friend, do you know what inflation is? These two are directly proportional. The reason why we grow together is because our society is constantly evolving.

  3. Anonymous users2024-02-10

    It is impossible to keep the amount of money in balance all the time, or the amount is greater than the demand, resulting in the depreciation of paper money, and the price of money will bring inflation and vice versa, causing deflation Moderate inflation and deflation are no problem.

  4. Anonymous users2024-02-09

    The three causes of inflation include: an increase in the amount of money, an increase in the cost of production, and an excessive increase in demand.

    1. The amount of currency ** increases.

    When the amount of money increases, the amount of money in the market increases, which leads to a decrease in the value of the currency, the price of goods, and thus inflation.

    2. Production costs are rising.

    When the cost of production rises, in order to maintain profits, enterprises will increase their products**, which will lead to prices**, causing inflation.

    3. Excessive growth in demand.

    When demand grows excessively, goods in the market are in short supply, which causes inflation. This situation usually occurs during economic boom periods, when people's consumption demand increases, and the production capacity of enterprises cannot keep up, resulting in price disadvantages.

    The harms of inflation are as follows:

    1. Currency depreciation.

    2. Wealth redistribution.

    Inflation leads to a redistribution of wealth because inflation makes assets ****, and those who hold assets benefit from it, while those who don't suffer losses.

    3. Investment uncertainty.

    Inflation can lead to investment uncertainty because it makes future benefits and costs uncertain, which can make it difficult for investors to make decisions.

    4. Increase the debt burden.

    5. Reduce consumption.

    6. Increase production costs.

  5. Anonymous users2024-02-08

    Serious inflation will have many negative impacts on social production and life. First of all, prices** can weaken people's purchasing power, leading to an increase in the cost of living and a decrease in people's spending power. Second, businesses face increased raw material and production costs, reduced profits, which can lead to layoffs and closures.

    In addition, inflation can lead to increased uncertainty and reduced willingness of investors to invest, which has a negative impact on economic growth. Most importantly, inflation exacerbates the gap between rich and poor, placing a greater burden on low-income households and weak or non-marginal groups, and exacerbating social inequality.

  6. Anonymous users2024-02-07

    Just look at commodities, in recent years, due to the impact of the epidemic, including oil, non-ferrous metals and coal, etc., **steadily**, although coal ** has stabilized later, these have nothing to do with most people. However, with the subsequent vegetables, fruits, eggs, meat and other agricultural products have also begun to be large, many people said that they can't bear it, and their living expenses are getting more and more every month. In particular, because of the epidemic, many people do not have ** salary, but their expenses are increasing, and people's monthly expenses are greater than their income, so the pressure on life is huge, especially for people who are still burdened with mortgages and car loans.

    Take the end of last year as an example, a round of vegetables **, many netizens have said that there is a phenomenon that vegetables are more expensive than meat, so can you still afford to eat? In recent years, due to the impact of the epidemic, many industries have been in a state of regression, industry profits are low, enterprises cannot make money, resulting in employees not making money, and a large number of people are unemployed. Especially, in such a situation, many people don't want to make money, and it's good to have a job.

    So, is the price ** that has been appearing all the time brought about by inflation? In fact, it is almost the case, because of the problem of excess currency, the original time, the real estate market was hot, and a large amount of hot money poured into the property market, which can not only absorb the inflow of trillions of yuan, but also drive economic growth. Now, because of the existence of restrictions, various real estate companies have withdrawn from the real estate market, a large number of properties have been sold, and hot money has nowhere to go, so it can only flow to the commodity market, which has also led to the price of goods related to ordinary people.

    In order to promote economic development, the United States, for example, has been printing a large amount of money into the market, which is also the cause of inflation, and after the money is issued, it is necessary to carry out currency drainage. Take China as an example, in the case of capital return, commodities will be the first, and the original time, the property market is to be a "reservoir", but with the tightening of the property market, these funds can only flow into other industries.

    In the inflow of other industries, such as e-commerce, once there is a hegemon in such an industry, it will lead to a decrease in the profits of the industry, and a large amount of money will be finally earned by the platform, and merchants and consumers are a wave of "leeks". A large number of markets and various industries have been compressed, resulting in countless bankruptcies and bankruptcies.

    And, in fact, there is an inflow of funds into the market, that is, the secondary financial market - **, but, you must know that ** is unstable, that is, being cut as leeks, many people in the ** after basically winning less and losing more, a year of money, may not be as much as other people's deposits.

    Moreover, **the** also depends on the real economy, without economic support, it is just a flash in the pan. Nowadays, housing prices have begun to **, and many cities are also relaxing policies, but is buying a house really good? Today's houses are more than the population, even if the price of these houses themselves is reduced, ** is not low, hungry and want to buy a house, or observe first!

  7. Anonymous users2024-02-06

    Answers]: a, b, c, d

    (e) Inflation is a distribution in favor of the debtor and not in favor of the creditor. Inflation alleviated the debtor's real debt, and Sue Zhen became the beneficiary. Holders of the right to fight with a certain amount of interest will suffer losses due to the decline in the real interest rate.

  8. Anonymous users2024-02-05

    Inflation, generally defined as: under the credit money system, the amount of money in circulation exceeds the actual needs of the economy caused by the depreciation of the currency and the price level is comprehensive and continuous**. When the amount of money in circulation in the market increases, the people's money income increases, and the actual purchasing power is greater than the output supply, resulting in the price of goods, which becomes inflation.

    Unlike currency depreciation, overall inflation is a decrease in the value of money in a given economy, while currency depreciation is a decrease in the relative value of money between economies. The former affects the value of the currency in the country in which it is used, while the latter affects the value of the currency in the international market. The correlation between the two is one of the economic controversies.

    Inflation can have a variety of economic consequences for the national economy. The most important of these are the redistribution of income, the redistribution of wealth and the impact of the balance of payments on the economy;

    Redistribution of income. Inflation causes the income of workers who receive a fixed monthly wage to redistribute. Because the rise in wages is slower than the rise in prices, even if the nominal wages rise slightly, the real wages fall, and then the income is transferred from the hands of the workers to the hands of the enterprise bosses, bringing about the effect of income redistribution.

    Wealth redistribution. It is good for the debt rusher, but not for the creditor. In some ways, inflation can be said to widen wealth inequality and worsen the gap between rich and poor.

    The economic balance and economic growth are low. Because inflation boosts imports, but discourages exports. As a result, the balance of payments and the balance of payments have deteriorated to varying degrees. Consumption is encouraged, but savings are suppressed, capital accumulation is hindered, and other reasons contribute to low economic growth.

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