6 ms·
I was using the word in an imprecise way. You could say "price inflation" and mean rising prices, or you could say "inflation" and mean an increase in the money
by sukulaku 11y ago
I was using the word in an imprecise way. You could say "price inflation" and mean rising prices, or you could say "inflation" and mean an increase in the money supply.
The price of money is the interest rate for borrowing it, but "inflation" in general refers to a decrease in purchasing power (through an increase in the money supply).
- bsbechtel 11y agoMy comment was more of a general observation of terms applied to different asset classes, not particular to your comment. Thank you for the clarifications though :-)