Inflation Zimbabwe Hits 165,000 %

Economics commentary number: 2 - Higher Level epithet of extract: splashiness Zimbabwe hits 165,000 % Source of extract: http://news.bbc.co.uk/2/hi/business/7351086.stm 16/04/08 Date of extract: 16/04/08 Word count: 650 Date commentary was written: 21/06/08 Candidate name: Timur Sengul Inflation Zimbabwe hits 165,000 % Zimbabwe, once a vibrant and diversified economy, had been a hope for Africas future. However, today, it is a countrified in deep crisis and the sign of collapse everywhere.

[1] Zimbabwes sincere gross domestic product per capita declined by 46.2 % between 1998 and 2005. Actually, as the graph shows us, the GDP per capita has fallen back to exactly the same level as 50 years ago, wiping out 50 years of income growth. Inflation can be described as a purpose for the general price level to increase over a given conviction period, or a case where in like manner a great deal money is chasing few goods. It is usually measured by the Consumer Price Index (CPI) where a representative basket of consumer goods is canvas for changes in the price level of a defined time frame. When inflation occurs, there is a sustained increase in the price level of nearly every product. There ar some major consequences associated with high levels of inflation particularly the going of purchasing power. As inflation increases, income often remains constant, center consumers can not afford to buy as much as before high inflation occurred. This often occurs with pot that have fixed incomes or because people that have a weak bargaining power. Some employers income is linked to the... If you trust to get a full essay, order it on our website: Orderessay

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