Real Price Change: Understanding Inflation and Escalation – Video 4
Articles, Blog

Real Price Change: Understanding Inflation and Escalation – Video 4

Welcome to the fourth video in our series: Understanding Inflation and Escalation in Defense Acquisition: A Guide for Better Public Understanding. Today we will present in detail how real price change affects Department of Defense cost estimates and how to approximate real price change. Let’s begin. If you recall, escalation contains two components: inflation and real price change. In the…

Continue Reading

Rising Inflation
Articles, Blog

Rising Inflation

And now let’s talk about the other main macroeconomic goal: Low and stable inflation. Inflation is also often a function of NY from the Keynesian viewpoint. Using the Phillips cost relationship or it can also be divided from the AD and AS andof high economic growth that’s likely to be substantial inflation as well.

Inflation vs deflation. A short analysis
Articles, Blog

Inflation vs deflation. A short analysis

In simple language, a rise in price of a commodity is called inflation and decline is called deflation. So how does price of a commodity increase or decrease? It’s simple demand and supply rule. If demand is more than supply, prices will increase, hence inflation; and if demand is less than supply, than prices will fall, hence deflation. An economy…

Continue Reading