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Econ. Class
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Inflation
The increase in the general price levels of goods and services in an economy over a period of time, leading to a decrease in purchasing power.
Costs
Reduced consumer spending, increased uncertainty in the economy, and potential erosion of savings.
Purchasing Power
The amount of goods and services that can be purchased with a unit of currency, which declines during inflation.
Consumer
A person or entity that purchases goods and services for personal use.
Businesses
Entities that provide goods and services to consumers.