How can controll the inflation rate?

Question

how come reduce the prices of goods and services

Answer 1

YOU cant control inflation...but what you can control is how much you earn.

the gas station guy raised the price of gas.

the grocery store raised the price of food.

the coffee shop raised the price of coffee.

the restaurant raised the price of meals.

the landlord raised the rent.....

none of them listened to me when I asked them to lower prices.

so what did i do?

I raised my prices too...now i charge way more for building an addition to a house...when my customer asks me to lower the price I say that things are too expensive nowadays and my price is justified.

So now gas is just 10% (it was about 19% before I raised prices) of my income....Me, myself and I did that...I caused "deflation" in my personal economy by simply making more money!!!

Answer 2

Reduce wasteful spending

Use car pools (or walk / cycle to work) to reduce oil pressures

Invest in equity funds to counter inflation

Answer 3

Government will raise tax.All banks were forced to raise the interest rates on loans.THis will result in people with fewer money therefore could not spend much money.With very few money,very few goods and services are sold and given.THen the prices of goods and services will not rise again.Bear in mind never in history all price of goods and services goes after inflation.

These are just the tip of the ice berg to control inflation.There are a lot more steps have to be taken.

Answer 4

Inflation is due to increase in demand and low supply. Increase in demand may be caused because of more money in the market also.

So we need to control the high money flow rate in the market. I think RBI is trying to control it by increase in interest rate on loan.

Also we need to understand the market and control our demands.

With all this we need to look of all dimensional developments. Still farmers are committing suicide in lack of care from governments. I can’t blame government directly but need to look for farmer development and which make in increase the production of our daily need products and Inflation can be controlled.

Answer 5

Deflation

Answer 6

Once the price of things go up, it's almost impossible to bring them back down. Unless you have deflation which is a rare phenomenon in U.S. economics. Nobody really knows how to control inflation, otherwise we would have done it already. Classical economists suggest we don't mess around with the money supply (printing excess money or lowering and raising interest rates) and the markets will fix themselves.

Answer 7

With better grammar.

Answer 8

Just increase your income...... the inflation is out of control...

Answer 9

Deflation, it is not the actual solution. Inflation due to increase in the price rates of essentail commodity.  If there is proper control of demand and supply in the market inflation will come under control