INFLATION
Persistent increase in the level of consumer prices or a persistent decline in the purchasing power of money in a period of time

What causes inflation?

• The demand of goods and services increases
• When the government spends more than it has to
• When manufacturers and businesses have shortages
• When the wages are higher than the production you generate

Types of inflation

• Creeping inflation (0-3% a year)
• Walking inflation (more than 3-10% a year)
• Galloping inflation (more than 10% per year)
• Hyperinflation (600% a year)

Example Hyperinflation

• Germany 1923. Adolf Hitler in the power became a consequence of hyperinflationary pressure prices doubled every 3.7 days and inflation stayed at 29,500 per cent. Germany need to repare the State after world war I.

Example Creeping inflation.

• In United States over the last couple of decades as pricing power of the dollar continues to decline

Example Galloping Inflation.

• In Mexico public transportation increased $2.00 pesos in a year.

Example Walking Inflation

• In Mexico gasoline increases to 9.7 percent in the year 2014.

Valeria Estrada
Ximena Cruz
Marco Muro
Mario Cruz