Home >  Blossary: Causes of Inflation  >  Term: Expansion of Money Supply
Expansion of Money Supply

Over expansion is also another cause; the money supply is not just cash, but also credit, loans and mortgages. When loans are cheap, then there will be too much money chasing too few goods, creating inflation. The prices of just about everything will increase, even though neither demand nor supply has changed.

0 0

Causes of Inflation

Category: Business

Total terms: 6

Other terms in this blossary

Δημιουργός

  • rufaro9102
  • (Harare, Zimbabwe)

  •  (Bronze) 259 points
  • 100% positive feedback
© 2024 CSOFT International, Ltd.