Inflation and unemployment measurement

Inflation

The continuous general rise in prices across an economy, which erodes purchasing power.

Hyperinflation

Very high levels of inflation. There is no specific level at which inflation becomes hyperinflation

Deflation

A period of continuous fall in the general price levels across an economy.

Disinflation

A fall in the level of inflation, meaning inflation is still present but at a lower rate. For example ( from 5% to 3% )

Consumer Price Index (CPI)

A measure of the price levels used to measure inflation, produced to international standards.

Producer Price Index (PPI)

Measures the change in price of a typical basket of goods bought and sold by manufacturers.

Hidden Unemployment

Those who wish to work but are not actively seeking work and are not officially counted as unemployed.

Underemployment

Those who work but wish to work more hours and fully utilize their skills.

Economically Active Population

The population that consists of those in employment and ILO unemployed.

ILO Unemployment Rate

Calculated using the formula: (ILO unemployed / economically active population) x 100.