How Inflation Works
Grade 9•45 minutes
Learning Objective
I can explain how the general increase in prices, known as inflation, affects the purchasing power of money.
Practice Questions
This lesson includes 7 practice questions to reinforce learning.
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1. Define inflation in your own words and explain how it generally affects the value of money.
2. Explain how "cost-push inflation" can decrease your purchasing power, providing a specific example.
3. Describe a situation where increased demand could lead to inflation, and explain how this inflation would impact consumers' ability to buy goods and services.
...and 4 more questions
Educational Video
What is Inflation?
The School of Life