If inflation is too high or too low, a destructive economic cycle can occur. If this process is not stopped, inflation may increase sharply, and unemployment may seriously increase as economic growth slows down.
What happens to government revenue during inflation? How does inflation cause depreciation? How does the government measure inflation? How can demand-pull inflation cause cost-push inflation? Describe the types of inflation and how they might occur in the future. What is the cause of inflation?
How do labor laws affect businesses? What factors influence customers when making buying decisions? Describe the goals of the Federal Reserve. What happens when these goals come into conflict? How would one decide if lower inflation is more important than lower unemployment? Explain. What is...
such as submitting a written request to skip a payment or a hardship letter—where you describe your circumstances and why you need to pause payments. You may be able to skip payments for 1–3 months, but generally deferments don't last much longer than this when it comes to auto loans....
In this case, you would be considered "house poor,” a term used to describe homeowners living beyond their means by spending most of their income on housing costs (including mortgage, taxes and insurance). Why is debt-to-income ratio important? In addition to your income, lenders will revi...
How should one invest a sum of money in these days of inflation (通货膨胀)? Left in a bank it will hardly keep its value, however high the interest rate. Only a brave man, or a very rich one, dares to buy and sell on the Stock Market. Today it seems that one of the best ways...
You may also wish to describe your tipping philosophy on a receipt. For example, some businesses include a charge for employees' health and wellness which is built into the total cost. You may include verbiage that describes to customers that these fees or charges do not include gratuity, ...
4. How do you think this inflation would affect people earning a fixed income? Inflation is the gradual increase of prices (from CPI) Inflation CPI in current year CPI in previous year CPI in previous year x 100 Inflation rate = ...
Learning Outcome Statements while studying for a CFA exam refer to specific skills and concepts you should possess within an exam topic whereas exam topics describe the broader body of knowledge you should have. For example, the Economics exam topic at Level I has many LOSs that you’ll need ...
Describe the advantages of using a value-added tax instead of a sales tax. How do unequal cash flows affect the future value of an investment? What is the primary argument supporting the US stock market continued 7% return per year after inflation, and what would opponents of this coun...