A line on a graph that represents the total quantity of a good or service consumed at each price level within a range of prices. For most normal goods, the quantity demanded decreases as the price increases, producing a downwardly sloping line on the graph.
The Consumer Price Index (CPI) measures the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services. It is a critical indicator used to understand inflation and the cost of living.
The Cost-of-Living Index is a tool that measures the relative cost of living over time or between different locations. It is typically used to compare the expense required to maintain a certain standard of living across various cities or countries.
A demand schedule is a table that showcases the relationship between the price of a good or service and the quantity demanded at different price levels. It is a fundamental concept in economics that helps illustrate consumer behavior and market dynamics.
Galloping inflation is an episode characterized by extraordinarily high inflation rates, leading to significant economic instability.
A general increase in prices in an economy, leading to a consequent fall in the purchasing value of money.
Overheating refers to an economic condition where rapid expansion leads to excessive inflation. It arises when demand outstrips supply, often causing price levels to increase.
Quantity demanded refers to the specific amount of a particular good that buyers are willing to purchase in the market at a given price level. It is a key concept in economics that helps in understanding the dynamics of supply and demand.
Real Purchasing Power reflects the value of a currency in terms of the quantity of goods and services it can buy, adjusted for inflation. It provides a more accurate measure of financial well-being by accounting for changes in price levels over time.
The Supply Price corresponds to the specific price level at which producers are willing to supply a particular quantity of goods or services, as indicated by a supply schedule or supply curve.
A support level is a price level at which a security tends to stop falling because there is more demand for the security than supply of the security. It is an important concept in technical analysis used by traders and investors to make informed decisions.
Wage-push inflation is an inflationary situation in which increasing wages are not offset by rising productivity, leading to higher production costs and, consequently, increased prices for goods and services.
