swali kwa wanauchumi
swali kwa wanauchumi
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KakaJambazi
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- Jun 5, 2009
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MaxShimba
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- Apr 11, 2008
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As inflation rises, every dollar (Schilings) will buy a smaller percentage of a good, a kilo of sugar for Schiling 2000. For example, if the inflation rate is 2%, then a $1 pack of gum will cost $1.02 in a year.
Most countries' central banks will try to sustain an inflation rate of 2-3%.
Economic condition characterized by an increase in prices and wages, and declining purchasing power. Inflation is usually measured by changes in the Consumer Price Index (CPI). The result is diminished purchasing power, and frequently a lower rate of savings as wage earners put more of their disposable assets in consumption, and less in long-term savings. Inflation is a monetary phenomenon. It occurs when there is too much money in circulation relative to the production of actual goods and services.
Now, Tanzanians are lead to uncertainty, discouraging saving and investment, as well as affecting a country's international trade, via the exchange rate and balance of payments, and redistributing income, from those with savings to borrowers.
Most countries' central banks will try to sustain an inflation rate of 2-3%.
Economic condition characterized by an increase in prices and wages, and declining purchasing power. Inflation is usually measured by changes in the Consumer Price Index (CPI). The result is diminished purchasing power, and frequently a lower rate of savings as wage earners put more of their disposable assets in consumption, and less in long-term savings. Inflation is a monetary phenomenon. It occurs when there is too much money in circulation relative to the production of actual goods and services.
Now, Tanzanians are lead to uncertainty, discouraging saving and investment, as well as affecting a country's international trade, via the exchange rate and balance of payments, and redistributing income, from those with savings to borrowers.
PatPending
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- Aug 17, 2007
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Hali ni mbaya ila ukienda Shoprite wikiendi iliyopita sukari ilikuwa ni Sh.1550 kwa kilo, kuna baadhi yetu tuliamua kukusanya kadri ya uwezo wetu sukari hii ya "chee".
Mwaka jana Msumbiji watu walikufa, wengine wengi kujeruhiwa na miji kukimbiwa mara baada ya bei ya mkate kupanda kwa asilimia mia moja. Hii ilitokana na wananchi kuandamana na kuanzisha vurugu kukataa udhalimu wa wafanyabiashara wachache wajanja waliotaka kutumia kigezo cha kupanda kwa gharama za chakula Afrika Kusini kufaidisha matumbo yao.
Watanzania bado hawajapata shida ya kutosha ya kuwafanya kufikia huko na hivyo bado wataendelea kudhalilishwa na watu wachache walafi.
Don't mean to be pedantic here but that's an overly simplified example. The CPI is a measure of the general increment in prices and within it there are components each corresponding to what the urban (in Tanzania's case) consumer consumes on a regular basis. For Tanzania there are about 13 such components from food and fuel & energy to recreation and entertainment. Now, within these components therein lie prices of regualrly/most consumed individual goods such as maize, mobile airtime, bus fares etc.
Let me point out that the CPI is just an aggregate measure of price movements of different goods and services, thus if the inflation rate says 2% then the prices of individual goods may have gone up by more than or less than the stated percentage. Alternatively individual prices may not have moved at all owing to various factors and explanations (supply, demand and the incidence of price stickiness).
Sorry for blabbering on like that sometimes I just get too excited by economic theory and certainly never meant to be an Econ Nazi.