How to Play Inflation essays
The article that I have chosen to summarize was called "How to Play Inflation" which will be published in Time magazine on April 26th, 2004. I have found that when going on to www.time.com that one can read certain articles before they are available on the market.
The article informed me that the government has confirmed that consumer prices have increased to an annual rate of about 6.2% which all happened in March of this year. The article also mentions how we consumers were shielded from this particular event of inflation. Some reasons why no consumers have notice this inflation is because that worker's wages have not raised much and factory costs have stayed down. Companies have also received higher costs to keep their goods and products affordable for the jobless. The article also begins to tell the reader how to measure inflation and the process of which to do this.
I have found that this article relates to microeconomics because of the discussion of inflation. From reading the book this semester I have noticed how the topic of inflation comes up more than once. As found in the book on page 12, inflation is part of the principle #9 for the Principles of Economics. Principle #9 is "Prices Rise When the Government Prints too much Money." I feel the article relates well to this principle of economics because when there is an access of money and percentages lying around, like the article explained, then prices do rises.