Why is there no inflation?

There are several reasons why there may be no inflation in an economy. One possible reason is that there is a lack of demand for goods and services, which can lead to stagnant prices. Additionally, if there is an abundance of goods and services available, this can also lead to a decrease in prices. Additionally, if the economy is weak, businesses may be reluctant to raise prices for fear of losing customers. Central bank policies, such as low interest rates, can also contribute to low inflation.

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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