Hyperinflation in China, Advantages and Disadvantages
Topic: Hyperinflation in Developing Countries (just talk about china)
Written report
Please make a comprehensive analysis to support your research on the chosen topic.
The written report requires answers consisting of complete sentences.
Bullet points or outlines are acceptable as long as they are properly tied into your answer and the totality of your answer is comprehensible.
The reports are to be typed in Arial 12 point font, single-spaced, with one-inch margins on every side
Additional six exhibits allowed. For example, Tables, Charts, Graphs or any other pictorial representation
Focus on applicable concepts such as GDP, Inflation,Unemployment, National Accounts, Government Spending,Monetary Policies, Demand, Supply, Scarcity, etc.
Research your Topic and gather Facts as well as cite the sources
Your assignment should include: 1. A Macroeconomics overview or introduction of your topic
2. Different viewpoints such as Pros and Cons, Advantages and Disadvantages,Benefits and Drawbacks for both sides of the viewpoint
3. Provide an insight on your perspective and defend your position with facts and reason
4. Conclude your report by summarizing the issue or the problem, providing different vantage points and your judgement or interpretation.
Reason for hyperinflationWhat caused hyperinflation and how it could be fixed
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Hyperinflation in China
Hyperinflation refers to where inflation rates rapidly grow over a short period. It occurs when the significant increase in money supply is not supported by the GDP of the country leading to an imbalance of demand and supply of money. If left unchecked, hyperinflation causes prices of commodities to increase while the currency loses its value. Hyperinflation is considered a rare occurrence but in the 20th Century countries like Germany and China were faced with this predicament during the recession.
The hyperinflation of China in 1949 was caused by the World War II. The war economy propelled China to use up its resources in manufacturing weapons ready for war. In times of war, contingency measures are put in place to sustain the violence; these programs took up all the ...
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