Look at the chart, we can see the very high inflation from 2006 to 2013, high inflation indicators leads to the value for money is lost, the strong price increases of products. Principal causes leading to inflation is due to demand pull and push costs. Rising inflation is a huge influence on business, employees, and the growth of the economy. The products of the business will increase, but the source of people's income is not enough to meet. That affect the supply and demand, when there is no demand sources leads to the source being residual, that forced businesses to reduce production, leading to decreased GDP growth. Business must reduce the amount of labour to reduce spending because the price of imported products from foreign countries increases due to inflation, which lead to workers losing their jobs and the economy of the country is increasingly going down. Look at the histogram we can see, the peak of inflation in our country as in 2008 (22.97%) and 2011 (18.58%). But in 2014 and 2015 the inflation rate of the country slumped 4.09 percent and 0.63% only, which is a positive thing for the development of economy in our country. The reduced inflation brings joy to customers, peace of mind of the investors in the manufacturing, trading, enabling policy makers and managers, operating the macro facility to draw out and implement the solutions etc for the production, supported the market. But if inflation drops too low also more harm to the economy. Low inflation lead to price reductions, with the mentality of customers they will pause to wait for spending the price continues to decline. That leads to the bridge lacks resources, and enterprises will have to limit production to reduce costs. So, to the country is increasingly growing, the rate of inflation must be kept at stable levels.
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