Inflation

[Jackdaw33]

...in February was 0%. Dave and George will be pleased.

[Gromit]

No they won't.

They have missed their target.

We are heading for deflation. Which means companies are making less money for the same costs as last year. Which means they will pay less tax.

[Gromit]

http://www.telegraph.co.uk/finance/economics/11340538/Deflation-is-coming-to-the-UK-and-it-will-have-a-huge-impact-on-business.html

[Zacs-Master]

A good economy should have moderate inflation.

A basic guide:
http://www.economicshelp.org/blog/315/inflation/inflation-advantages-and-disadvantages/

[youngmafbog]

yes, zero % is not good.

Gromit, the ramifications of negative interest go far deeper than that!

[ToraToraTora]

yes, 0% is not good, the danger here is deflation, not good at all.

[mikey4444]

If high inflation is horrid, and 0% inflation is horrid too, what should a nice level of inflation be ?

These economists talk a language all of their own......I understand Heisenberg's Uncertainty Principle better than some of this economic stuff !

[ToraToraTora]

0.5 - 2% mikey, is the goldilocks range.

[mikey4444]

Thanks TTT....I didn't know that !