surcharge/precursor of INFLATION

[Richard Brekne]

"John M. Formsma" wrote:

> Willem and Bob B,
>
> I was wrong about this definition of inflation, and you fellas were right
> on. Oops! Sorry for displaying my ignorance. :-)
>
> << I thought inflation was the result of excess paper money which devalues
> the
>  currency unit.  >>
>
> A textbook def of inflation is: "The rate of upward movement in the price
> level for an aggregate of goods and services."

Grin... which if you stop to think about it for a sec... can result from your
origional definition.. such as it was. Given the fact that one can live in a
country where a devaluing of currency results in higher prices due to that
countries reliance on import.. the price for these goods and evt. services
will rise.

Your textbook definition is the best so far presented as it is general enough
in nature to not "forget" about all "the other things" that can influence
inflation.

Which just goes to show that pianotechs that increase their rates 5 to 10
dollars due to an increase in all their transport costs (in this case gasoline
at the root) is such a small drop in the ocean of factors leading to
inflation, that the line of reasoning which brought the whole idea into the
discussion is... well... off the wall at best. grin.


>
>
> Hey, if inflation occurs, do you think they will blame it on us piano
> tuners? I mean, we have so much to do with the economy. <grin>
>
> John Formsma
> Blue Mountain, MS

--
Richard Brekne
Associate PTG, N.P.T.F.
Bergen, Norway