Economic Indicators and the Business Cycle

An accelerating monetary supply growth leads to a rapid devaluation of the currency and runaway price levels.

Controlled fiscal policy and moderate interest rates stimulate sustained decreases in consumer prices.

Slow capital flows and restricted access to global financial markets lead to gradual decline in prices.

Extensive regulatory reforms in sectors promoting increased market competition reduce overall price pressures.

9%

12%

10%

11%

It can increase inflation by boosting aggregate demand.

It has no effect on inflation as it is related to monetary policy only.

It decreases inflation by reducing aggregate demand.

It controls inflation by manipulating interest rates.

Stagnation

Growth slowdown

Recession

Inflation

High inflation rates will have no impact on exchange rates due to market efficiency.

The country's currency will appreciate against its trading partners' currencies.

The inflation rate will cause hyperinflation in both domestic and foreign markets.

The country's currency will depreciate against its trading partners' currencies.

The current phase of the business cycle.

The fashion industry trends during that year.

Popularity polls for current political figures.

The success rates of local sports teams.

The relationship between the inflation rate and the purchasing power of money is unpredictable.

As the inflation rate increases, the purchasing power of money increases.

As the inflation rate increases, the purchasing power of money decreases.

The inflation rate has no impact on the purchasing power of money.

Sustained deflation accompanied by robust economic growth and job creation.

Rapid economic expansion preceded by a period of below-average price increases.

High unemployment coincides with marked increases in prices across economic sectors.

Balanced budget surplus achieved alongside controlled moderate inflation.

Producer Price Index (PPI)

Consumer Price Index (CPI)

Stock Market Index

Human Development Index (HDI)

Central banks would cease managing interest rates, focusing solely on controlling money supply instead.

Interest rates could fluctuate unpredictably as they are no longer influenced by market forces.

They might be perpetually lowered regardless of economic circumstances to spur growth at all times.

Interest rates may become more stable as they adjust predictably toward achieving the target rate.