What affects inflation?

Inflation is affected by a variety of factors, including changes in the supply of money and credit, fluctuations in consumer and business confidence, shifts in government policies such as changes in interest rates or taxes, and global economic trends. Additionally, the cost of inputs like labor and raw materials can impact inflation, as can changes in the level of competition within an industry. Overall, the causes of inflation are complex and multifaceted, and can be influenced by a wide range of economic, social, and political factors.

The effects of inflation are often not directly felt but are played out over a long time, especially long-term investments are vulnerable to inflation.


At Horizon65, we created a mobile app that enabled you to check the effect of inflation on your savings.

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