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This website doesn't just explain what inflation is but it explains the difference between high inflation and low inflation and which one is more ideal for the economy. This website gives a great example of how people get themselves in a hole of dept when worrying about high inflation rates. Also, on the other end of the spectrum, it describes how dangerous low inflation can be for those already in dept. It also explains the effects of inflation, disinflation and who benefits from deflation. This website gives us an excellent amount of detail regarding all angles of inflation.

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Reflection Answers

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Picture #3          Inflation http://www.newsky24.com/inflation/

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Picture #3          Inflation http://www.newsky24.com/inflation/

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This graphic really expresses how inflation impacts the economy which is why i chose it. In a perfect world, we would have low inflation rates all the time, which would give us, civilians, more currency, but its very tricky to have low inflation rates at all time. As inflation rates grow, the less money civilians have.

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Video #3                  How To Control Inflation https://www.youtube.com/watch?v=6rT5S-4bvKQ

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Video #3                  How To Control Inflation https://www.youtube.com/watch?v=6rT5S-4bvKQ

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This video which is found on YouTube explains how inflation is controlled and the measures the government goes to, to control inflation. There are three types of measures to control inflation; Monetary measures, fiscal measures and other measures. Monetary measures include; credit control, demonetisation of currency and the most extreme measure of monetary, which is the issuing of new currency. Fiscal measures include; reduction in unnecessary expenditure, raising taxes, an increase in savings on the part of the people, surplus budgets and the postponement of repaying public debt. Other measures to control inflation include; increasing production of consumer good, a rational wage policy and the rationing of distributing scarce goods and materials.

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Video #2                 What Causes Inflation? https://www.youtube.com/watch?v=iiEiRZhfOl8

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Video #2                 What Causes Inflation? https://www.youtube.com/watch?v=iiEiRZhfOl8

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This video which was found off of Youtube gives a quick summary of what causes inflation. "Too much money, chasing too few goods". This quote was said by Milton Friedman. Inflation is caused by too much production and circulation of currency, with not enough goods or products being produced. In other words the supply and demand ratio is not equal. A good supply and demand ration would be 1:1 (1 good produced to 1 good purchased).

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Website #2      Canada's Inflation Calculator http://www.bankofcanada.ca/rates/related/inflation-calculator/

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Website #2      Canada's Inflation Calculator http://www.bankofcanada.ca/rates/related/inflation-calculator/

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This website is very interesting. It is a inflation calculator from the Bank of Canada that allows people to see how inflation has affected our currency in the past and present. You can put in any value from the past until the year, 1914, and it will give you how much it is worth in today's time. For example; $100 dollars in 1995 is now worth approx. $150. So in 22 years, the inflation rate has changed by nearly 50%.

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Picture #2        Canada's Annual Inflation Rate http://globalnews.ca/news/2116560/canadas-inflation-rate-1-in-june/

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Picture #2        Canada's Annual Inflation Rate http://globalnews.ca/news/2116560/canadas-inflation-rate-1-in-june/

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This picture gives us an excellent look at inflation rates in Canada over the recent years. It looks like 2011 - 2012 was a big increase in inflation rate but has then been able to settle down.

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Website#1                 The hidden dark horse  https://looniewise.ca/2015/03/inflation-the-hidden-dark-horse/

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Website#1                 The hidden dark horse  https://looniewise.ca/2015/03/inflation-the-hidden-dark-horse/

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This website goes into great depth of how inflation works. Also, this website has hyperlinks which will take you to the Bank of Canada's Inflation calculator. What I found interesting about this website is that the author really tries to get across how over-looked inflation is and that people who are saving money, may actually be losing money. I believe Canadians should be more aware of inflation and this website is a great way to get the topic across.

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Picture #1               1995 - 2015 https://looniewise.ca/2015/03/inflation-the-hidden-dark-horse/

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Picture #1               1995 - 2015 https://looniewise.ca/2015/03/inflation-the-hidden-dark-horse/

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This picture is a great graphic that really defines  how inflation affects our money supply. $20 use to supply households with a weeks worth of food. Today, $20 can get us a few items from the grocery store.

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Our topic is on Inflation:What is it & How does it affect our money supply?
By Riley Tuset & Jason Bongelli

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We will explain what inflation is and how it affects our money supply. Also, we will share pictures, websites and videos to help explain how inflation affects us every day!

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Video #1:                What is inflation? https://www.theguardian.com/business/video/2015/dec/15/what-is-inflation-economics-explained-video

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Video #1:                What is inflation? https://www.theguardian.com/business/video/2015/dec/15/what-is-inflation-economics-explained-video

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This video explained what inflation is in great detail. I remember hearing how my parents could go to McDonalds with a loonie and get a meal, but these days it will cost you about 10 dollars for a meal. That is the result of inflation. The increase in value of goods and services will produce a decrease in value of our currency.