Inflation, Deflation & Capacity Utilization 2

What are the consequences and costs of inflation? What is CPI, and how do we calculate it? This resource answers these questions in an organized and in-depth manner, and also includes a worksheet of follow-up questions designed for...

High utilization of capacity leads to a raise in prices. Salman Khan discusses competition and its effect on inflation.

A video [12:31] explaining capacity utilization and how it affects inflation and deflation.

A video [11:49] explaining capacity utilization and how it affects inflation and deflation.

A discussion of inflation and deflation

Is the stimulus large enough to offset the demand shock caused by the contraction in credit? Will it lead to inflation? [13:21]

What makes a one hundred-dollar bill valuable? Here is an excellent, straight-forward animated video to help your learners grasp the concept of inflation and the purpose and policies of the Federal Reserve System.

Economics of a simple business leading up to a discussion on inflation and deflation. Touching on income statements. [11:13]

More analysis of the cupcake business. Understanding the relationship between utilization and inflation and what to charge in order to create revenue. [11:36]

Using our spreadsheet to show why prices decrease when utilization is low and prices increase when utilization is high.