What is the meaning of inflation?
In Layman’s terms, Inflation means price rise.
What is inflation in economics?
As general prices rise, the purchasing power of consumers decreases. The measure of inflation over time is referred to as the rate of inflation or the inflation rate.
Inflation is the decline of purchasing power of a given currency over time.
A quantitative estimate of the rate at which the decline in purchasing power occurs can be reflected in the increase of an average price level of a basket of selected goods and services in an economy over some period of time.
Types of inflation in economics
- Demand-Pull Inflation.
- Cost-Push Inflation.
- Open Inflation.
- Repressed Inflation.
- Hyper-Inflation.
- Creeping and Moderate Inflation.
- True Inflation.
- Semi-Inflation.
- In india inflation is measured by wholesale price index (Wpi) and the consumer price index (cpi).
Cpi Inflation
India CPI Inflation Rate February 2021, IIP Growth Rate January 2021: The retail inflation, measured Consumer Price Index (CPI) rose to 5.03 percent in February.
The country’s retail inflation, measured by the Consumer Price Index (CPI), rose to 5.03 percent in the month of February.
Cost inflation index 2020
cost inflation index Fy 2020-21
The Cost Inflation Index (CII) for the financial year (FY) 2020-21 has been notified as 301 by the Ministry of Finance. The notification is dated June 12, 2020. For the previous financial year, CII was 289.
Current inflation rate in India 2020
| 2020* | 4.95% |
| 2019 | 4.76% |
| 2018 | 3.43% |
| 2017 | 3.6% |
Inflation in India 2020
- The inflation rate in India 2020 is 4.95%. In 2019, the inflation rate in India was around 4.76 per cent compared to the previous year.
Cost inflation index (Cii) for fy 2020-21
| Sl. No. | Financial Year | Cost Inflation Index |
|---|---|---|
| 1 | 2017-18 | 272 |
| 2 | 2018-19 | 280 |
| 3 | 2019-20 | 289 |
| 3 | 2020-21 | 301 |
