Hey there! Sign in to join this conversationNew here? Join for free

HELP! Economics students, can you please help me for this Macroeconomics topic Watch

    • Thread Starter
    Offline

    1
    ReputationRep:
    Hey, the part of my syllabus that I can't fully answer is...

    Examine the costs of inflation, distinguishing between anticipated inflation and unanticipated inflation.

    I've been looking through books, but they don't exactly distinguish the two, can someone help me?

    Thanks,

    A
    Offline

    2
    ReputationRep:
    http://econtutorials.com/blog/antici...ted-inflation/
    • Thread Starter
    Offline

    1
    ReputationRep:
    That really doesn't help. They explain what anticipated and unanticipated mean, and why anticipated is better. But it doesn't give the costs of anticipated inflation properly.
    Offline

    2
    ReputationRep:
    (Original post by am_blue)
    That really doesn't help. They explain what anticipated and unanticipated mean, and why anticipated is better. But it doesn't give the costs of anticipated inflation properly.
    Ahh okay sorry. I'm not really sure because anticipated and unanticipated inflation aren't on my exam board but maybe the costs of anticipated inflation are just the same as the usual costs of inflation like reduced international competitiveness.
    Offline

    1
    ReputationRep:
    Im pretty sure this is anticipating the rising price of good so people start consuming more before essentially goods become more expensive. Bank can also save themselves by the rising interest rates.
 
 
 
  • See more of what you like on The Student Room

    You can personalise what you see on TSR. Tell us a little about yourself to get started.

  • Poll
    Brussels sprouts
  • See more of what you like on The Student Room

    You can personalise what you see on TSR. Tell us a little about yourself to get started.

  • The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

    Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

    Quick reply
    Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.