Financial Glossary

Here you’ll find clear and concise explanations of key financial terms and concepts. Our goal is to help you better understand essential topics across the financial world.

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August Jepsen August Jepsen

Inflation

Inflation is the sustained general rise in the price level of goods and services in an economy over time, which causes money to lose purchasing power and makes products and services more expensive. Usually measured as an annual percentage change using indices like the Consumer Price Index (CPI), inflation can be caused by factors such as excess consumer demand (demand-pull), increased costs for businesses (cost-push), or structural imbalances in production.

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