Inflation is considered to be a bad influence, no business is willing to see. Because when inflation rises, labor number increase from the direct impact of its consumer demand for consumer candy will be reduced. Therefore, enterprises need to consider the balance of the CPI index and the new value for the price difference is not high, the old value. If you increase the risk of CPI index directly caused money loses value, money will not have customer demand the use of the goods from the company will lead to bankruptcy.The key of the financial policy is the use of tax and expenditure budget locked in to influence aggregate demand, this is by adjusting production to achieve the goals of hope. When the economy is in recession, when enterprises stop production and consumption reduction, water will turn to the investment road tax and increase consumer spending by reducing the tax house.
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