Rey Carl V.

Lontayao Economics 1 TTh 10:30-12:00pm

Inflation

As we are experiencing now in the Philippines prices of commodity are timely rising and
people are struggling to find cheat alternatives for the commodities that are the price hikes
especially the poor people that can’t afford human necessities. As of what I have learned,
inflation is generally used mean any sustained or continuing increase in price. When I was
a kid I really don’t care of what is the price of a commodity, cause my dad and mom will
shoulder it for me but when I was one my own, I have that its is not really easy when your
having a wage that is just enough for your needs, And when prices raises... It’s really a
problem on calculating your budget especially when you’re just receiving an adequate
income. An undesirable inflation is really a problem when this occurs in a poor country like
the Philippines, although plans and policies are created to improve the standards of living
of the people. But to much of that, inflation really is not a bad indicator of a economy, like
the Demand pull-inflation, when a economy is growing and developing fast. Where there is
an increase in demand prices will tend to grow up and the output of goods would also tend
to increase.