What is infuletion?

Inflation refers to the general increase in prices of goods and services in an economy over time, leading to a decrease in purchasing power. It is typically measured by the Consumer Price Index (CPI) or the Producer Price Index (PPI). Factors contributing to inflation can include increased demand, rising production costs, and expansionary monetary policies. Moderate inflation is often seen as a sign of a growing economy, while high or hyperinflation can have detrimental effects.