Inflation Analysis: Today only one voice is being heard in India from road to Parliament and that voice is rising against the ever-increasing price rise inside the country, if we talk about lemon, then expensive, cloth is expensive, petrol-diesel rates are sky high. Touching, the prices of household ration are also increasing continuously. After hearing this, the question becomes whether the graph of inflation is increasing only in India or the same is the condition of the countries which are considered to be superpowers of the world. Every question arising in your mind is being analyzed in detail, but first of all, know that when it is believed that inflation is increasing inside the country.
what is inflation
Understand in simple language that the price of the goods you are buying at present has increased or decreased in comparison to the last 6 months. According to the RBI’s inflation controlling standard, this rate should be between 2 and 6 percent, but at present, according to the data of April, it has reached 7.79 percent, which is the highest since May 2014.
Let us tell you through the data that in the last one year i.e. between April 2021 and April 2022, how much has increased in the prices of items used in everyday life.
Inflation on edible oils 17.28 percent
Vegetables have grown at the rate of 15.41 percent
Fuel and electricity prices hiked by 10.80 percent
9.85 percent in clothes
So the prices of food items have become expensive at the rate of 8.10 percent. (source PIB)
You have seen here how much the prices of goods have increased during inflation in India’s economy, but what is the situation of America, Britain, Germany, France, Italy, the strongest countries in the world as an economic power. Know where it stands in comparison. These countries play an important role in institutions like United Nations Organization, OECD, G20. So see what is the condition of inflation in these countries-
US inflation rate is 8.3 percent
7 percent in the UK, which is its highest level since 1992
8.4% in Spain
7.4 percent in Germany
At the same time, inflation in its neighboring country Pakistan is increasing continuously at the rate of 15.1 percent, although how bad the situation in Pakistan is, it is not hidden from anyone.
condition of america
After nearly four decades in America, people have seen so much inflation, the prices of food and drink have increased by 10 percent in America, then the price of electricity has increased by 32 percent.
condition of britain
Inflation in America as well as in Britain has made people miserable, inflation is at its highest level after 1992. In the UK, fuel prices have seen the highest increase in 31 years, while the prices of essential commodities used every day have increased by more than 10 percent.
Strong rise in inflation in Germany
Not only America and Britain, but Germany is witnessing so much inflation after 1981, where the price of food items is 5.9 percent year-on-year, housing, water, electricity, gas and other fuels inflation rate is 8.8 percent. is increasing continuously.
What is the effect of rising global inflation
The rate of inflation is many times higher than India in most countries including America, Britain, Turkey, Pakistan, while in many European countries including Germany, Italy, Spain, the stock of edible oils and flour is seen running out, people need In such a situation, under the supermarket of many European countries, the rule of selling a limited quantity of goods to customers has been implemented, not only this, due to the decline in industry-business in many European countries, due to the layoff of employees. Signs are showing.
Countries like America, Britain, Germany are far ahead in terms of economic, manufacturing and technology. On the other hand, despite being a developing country, the inflation rate in India can still be considered stable as compared to these countries, India is second in the world in terms of population. It is caused by demand and supply.
Know here what is the real reason behind the rise in inflation.
During the Corona epidemic, the manufacturing sector was most affected all over the world. Due to the war between Russia and Ukraine, there was a tremendous jump in crude oil prices, which had the biggest impact on transportation, and when transport is expensive, it affects other things too. During Corona, the machines of countless companies all over the world came to a standstill, as a result of which the production of goods which was being done continuously on the basis of global demand suddenly stopped. Due to the lockdown all over the world, people almost stopped leaving their homes.
The effect of the end of the corona period is also a big reason
Now you will understand carefully that why suddenly the whole world was hit by inflation. When the lockdown started being removed in many countries around the world, people’s trend increased on shopping the most. Suddenly, the demand for goods which was almost negligible in the last 2 years saw a boom in their demand. You also understand this very well that if an item is available in limited quantity and the number of buyers is more than that, then automatically the price of that item increases. This is what is happening all over the world at present. There are fewer goods and more buyers, which affected the demand and supply chain and increased the prices of goods.
The central government is facing critical politics
But apart from the impact of inflation, the central government is also facing critical politics. Supporting the government in times of crisis arising out of an epidemic like Corona or taking a special side in telling the situation to the people of the country .. whether it is parliament, road or social media, the opposition’s rebellious attitude against the government on every side regarding inflation. can be seen clearly. This situation can be understood in such a way that suppose your family is a country and the head of the family has the responsibility of meeting all the needs, but suddenly such a calamity comes and the expenditure of the head suddenly increases. It certainly has a negative impact on the financial condition of the family. Exactly the same thing happened here too.
How was the inflation situation between 2004 and 2014
There was a Congress government in the country from 2004 to 2014, at the same time the whole world had to face economic recession. Between 2004 and May 2014, what was the inflation situation in the country, did the Congress, which is constantly attacking the government in the present situation, properly faced the crises during its tenure. In 2004, Congress formed a new government in the country with its supported parties, when the government started its work, during that time the inflation rate in the country was 3.77 percent. In the same proportion, the rate of inflation inside the country also increased rapidly, now you look at these figures.
In the year 2008, the inflation rate was up to 8.35 percent.
In the year 2008, the country had to face an economic recession, during that period the rate of inflation inside the country had increased to 8.35 percent, if it is compared with the Corona period, then the inflation rate can be considered in a very good condition at the present time. is. The country was affected by the corona epidemic for 2 consecutive years, the government also had to announce an emergency economic package of more than 6 lakh crores, ration was also provided to the citizens of the country, health facilities were also provided free of cost, which affected the country’s economy. But it was inevitable, after the year 2008, the rate of inflation increased to 10.88 percent in the very next year itself, then did it continue to increase instead of controlling the rate every year. The highest inflation rate was 11.99 percent during the 10-year tenure of the Congress and when the 10-year term of the government ended, the inflation rate was 6.65 percent.
questions are also being raised
In the midst of these figures, the question also arose whether the Congress, which is continuously rumbling against the government, is honestly fulfilling its duty of being an opposition party? Because it is believed that for a healthy democracy, the role of the opposition in the country is very important, if the opposition discharges its duty as a responsibility, then the country’s democracy will be stronger.
These reasons have been in favor of India
At present, some favorable conditions can also be clearly seen in preventing inflation from rising rapidly in India as compared to other countries of the world, good agricultural production in the country is playing an important role in controlling the prices of food items, also There is a great compatibility that not only does the country have a surplus reserve of rice and wheat in excess of what is required for the public distribution system, but the country is also seen exporting wheat and rice at record levels. Apart from increasing the repo rate by 0.40 percent, RBI has also taken several concrete steps to control inflation. Why are the prices of your everyday items increasing continuously and why inflation is increasing continuously this article will help you to have a clear view.