HSC Together Year 12 Economics: Inflation: Positive and Negative effects

Economics

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Inflation: Positive and Negative effects

Studying HSC Economics and need help understanding inflation and its positive and negative effects? Keep reading to find out more!

Inflation is defined as sustained increase in the general price level in the economy over a period of time. It has overwhelmingly more negative effects for decision making in the economy and reduces purchasing power. However, one positive effect is that it prevents deflation.

Watch the videos below to learn more about the positive and negative effects of inflation in HSC Economics:

 

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