Inflation and its types
Answers are for parents and teachers.
1
M = 150, V = 8, Q = 120. What is P?
10
2
A basket rose from 2 500 000 to 2 750 000 so‘m. What is the inflation in per cent?
10
3
A family’s monthly basket was 1 200 000 so‘m of food and 300 000 so‘m of utilities. A year later the same basket costs 1 380 000 for food and 330 000 so‘m for utilities. What is the inflation for the basket in per cent?
14
4
Why can deflation also be dangerous for producers? Write one or two sentences.
If prices fall, income decreases and profit shrinks; firms may cut production and dismiss workers.