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प्रश्न
How does inflation affect the following?
Farmers
State the effect of inflation on the farmers.
State one favourable impact of inflation on the farmers.
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उत्तर
- Farmers generally gain during periods of inflation, because they can obtain better prices for their crops during inflation.
- Moreover, farmers are generally debtors as they borrow funds/money for agricultural purposes. Like other debtors, they gain during inflation.
- However, small farmers do not gain much during inflation as the major portion of their produce is not marketed but instead, kept for self-consumption. Moreover, they have to purchase inputs, like seeds, fertilisers, insecticides, etc., at higher prices during inflation.
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संबंधित प्रश्न
Answer the following :
What are the Non - economic effects of inflation?
Answer the following question in one or two sentences.
Explain the term deficit Financing.
Explain how taxes can bring about equality in income distribution.
Examine any three adverse or evil effects of inflation on production.
Identity the correct statement from the following:
______ are worst affected during the period of inflation.
Purchasing power of money falls when ______.
State running inflation impact on fixed income groups.
State the effect of inflation on creditors.
Why do producers gain in the short run during inflation?
How does inflation affect the distribution of income?
How does inflation affect the following?
Debtors and creditors
Which section of the society is worst affected during inflation? Why?
Explain the impact of inflation on producers in the short run.
