Advertisements
Advertisements
Question
Answer the following :
What are the Non - economic effects of inflation?
Short/Brief Note
Advertisements
Solution
1. Inflation basically widens the gap between the rich and the poor and therefore, creates social friction and conflicts.
2. Due to inflation, some businessmen resort to unethical, unfair and illegal activities such as adulteration, hoarding and quality deterioration, thereby affecting moral values.
3. Inflation also increases the possibility of corruption which is reflected in political uncertainties.
shaalaa.com
Effects of Inflation
Is there an error in this question or solution?
APPEARS IN
RELATED QUESTIONS
Identity the correct statement from the following:
______ are worst affected during the period of inflation.
Observe the relationship of the first pair of words and complete the second pair.
During inflation the debtors gain.
During inflation the ______ lose.
Which of the following section of the society is most adversely affected by inflation?
Mention the effect of inflation on the value of money.
Why do producers gain in the short run during inflation?
How does inflation affect the distribution of income?
Discuss the effects of inflation on production.
How does inflation affect the following?
Debtors and creditors
Which section of society gains due to inflation? Why?
