IMPACT OF INFLATION

ON INDIAN ECONOMY

BY :
BAJRANGI PANJIYAR
LITISMITA DHAL
SMUTIREKHA DAS
SHIBA PRASAD SA
 CONTENTS

INTRODUCTION OF
INFLATION
REASON
CAUSES
EFFECTS
TYPE
CONTROL
CONCLUSION
 Introduction
 Inflation is defined as a sustained increase in the price
level or a fall in the value of money.
 When the level of currency of a country exceeds the level
of production, inflation occurs.
 Value of money depreciates with the occurrence of
inflation.
Inflation
REASONS OF INFLATION IN
INDIA
 Rise in Crude Oil Prices
 Rise in food Prices
 Black Money
 GDP
 Wage rate wise
 Causes of inflation
people got Production
truckload of cost itself
cash Increased

Demand pull Cost pull

1. Black Money 1. Wages

2. Disposible Income 2. Taxes
3. Dearness Allowance 3. Raw Material
4. RBI's Monetary Policy 4. Profit Margin
CONCLUSION
Basically inflation refers to a substantial rise in the prices of the
goods and services in the economy. There are various causes due to
which inflation occurs in the economy. Due to its occurrence,
Inflation has various types on the basis of degree of control,
employment, inflation rate and causes. Inflation is controlled by the
central bank in the economy through its monetary and fiscal policies
which can vary from time to time.