over the years the rate of increase in prices of essential commodity can not be over emphasize. According to Paylor and Carnegie (2023) state that a serious threat to wellbeing has be traced to rising cost of living and it also posses a distrust to the government and from a research done in 2023 over 34% of individuals are not eating balanced diets which will lead to malnutrition while 16% are no me on regular exercise. In addition this indicate people can no longer afford necessary food item they could normally afford and this has lead to the reduction in health qualities of individuals. They may be certain factor that influence this inflation and we will have a look on some of them.
Causes of Inflation and its Impact
Furthermore, there are certain factors that has be seen to influence inflation. According to the Investopedia Team (2024) some factors ranging from production cost , Demand and Fiscal policy and more. Below are some listed causes of inflation.
- Cost Push Inflation: This type of inflation occurs when the price of production of a commodity increases like raw materials and wages.
- Demand Pull Inflation: This type of Inflation occurs as a result of increase in demand of customers on a particular goods and services.
- Built in inflation : This type of inflation occurs when more people have expectation of inflation in the future for longer time thereby triggering workers to ask for raise in wage.
- Monetary Devaluation: This type of inflation occurs when too many dollars are chasing few goods that is the supply of money grows too large indicating too much money in circulation.
Inflation has been shown to affect the wellbeing of individuals and also lead to some untrusty issues and all of this can be mitigated if the causes are known then the right actions can be taking to put individual back to living their normal heathy live as desire and have the luxury to afford necessary food items.