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Answer on Other Economics Question for mageswari

Question #18223

Evaluate and explain as accurately as you can the manner in which each of the following individual or party would be affected by fairly rapid inflation
a) A department store assistant manager.
Expert's answer
Inflation is depreciation of money, which leads to a significant reduction in the purchasing power of the population throughout the country. Normally such depreciation is a combination of several interrelated reasons.This phenomenon is not only a significant increase in the prices of consumer goods and services, but also in the fact that essential goods may disappear from the shelves of supermarkets and shops(ie there is a deficiency), and the quality of these products is significantly deteriorated. These phenomena are the shadow side of this depreciation.
Managers of store departments in supermarkets are concerned about the reaction of consumers who are increasingly choosing products offered for sale at reduced prices, passing these discounts are not honored.

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