Why are prices on everyday items going up when the economy is still stagnant?
Inflation seems like it has not slowed even in the bad economy, why is that?
There is a lot of money in circulation when the economy is good and this makes most people to afford everyday items and also the pricey ones. To curb inflation, this money has to be reduced or decreased from the hands of consumers.
In a bad economy, prices have to go up and this means the money you have will not be able to buy a lot of things.
When the economy becomes better, this is when money will increase in the hands of consumers and they will not feel the pinch when they buy basic stuff.
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