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| | Inflation - Wikipedia, the free encyclopedia |
 | | General inflation is a fall in the purchasing power of money within an economy, as compared to currency devaluation which is the fall of the market value of a currency between economies. | | | Since inflation is often the result of government policies to increase the money supply, the government contribution to an inflationary environment is a tax on holding currency. | | | Hence reducing budget deficits and contraining budget spending is a key part of neo-classical theory and fighting inflation. |
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http://en.wikipedia.org/wiki/Inflation
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| | Inflation - Wikipedia, the free encyclopedia |
| | General inflation is a fall in the market value or purchasing power of money within an economy, as compared to currency devaluation which is the fall of the market value of a currency between economies. | | | Since inflation is often the result of government policies to increase the money supply, the government contribution to an inflationary environment is a tax on holding currency. | | | Inflation, from this perspective, is seen as the market expression of what the time value of money is. That is, if a dollar today is worth more to someone than a dollar a year from now, then there should be a discount in the economy as a whole for dollars in the future. |
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http://en.wikipedia.org/wiki/Inflation
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| | Inflation - Wikipedia, the free encyclopedia |
| | General inflation is caused by a fall in the market value or purchasing power of money within an economy, as compared to currency devaluation which is the fall of the market value of a currency between economies. | | | Since inflation is often the result of government policies to increase the money supply, the government contribution to an inflationary environment is a tax on holding currency. | | | Inflation, from this perspective, is seen as the market expression of what the time value of money is. That is, if a dollar today is worth more to someone than a dollar a year from now, then there should be a discount in the economy as a whole for dollars in the future. |
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http://en.wikipedia.org/wiki/Inflation_(economics)
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| | Kravchuk: Seigniorage and the Inflation Tax |
| | Given the decline in the inflation tax yield as a percent of GDP after 1994, we are compelled to examine whether Ukraine's appetite for inflation exceeded the maximum potential yield from the inflation tax. | | | The point at which inflation tax revenues turn downwards depends upon the semi-elasticity of real balances to changes in inflation.[7] On the basis of a limited number of quarterly observations, Havrylyshyn, et. | | | It is clear that the inflation tax in 1992-96 was a nonlinear function of the demand for real balances. |
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http://www.huri.harvard.edu/workpaper/kravchuk/seignoir.html
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| | FRBSF: Economic Letter - What is the Optimal Rate of Inflation? (9/19/97) |
| | Phelps pointed out that inflation is a source of tax revenue for the government and that if inflation were reduced other taxes would have to be increased in order to replace the lost revenue. | | | Phelps argued that at low rates of inflation, distortions associated with the inflation tax might be minor and that substituting other taxes for the inflation tax might result in greater deadweight losses. | | | The difference between the losses of those who pay the tax and the revenue raised is known as the "deadweight loss" or "excess burden" of the tax, and one principle of public finance is that taxes should be administered in a way that minimizes these losses. |
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http://www.sf.frb.org/econrsrch/wklyltr/el97-27.html
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| | Inflation, by David Ranson: The Concise Encyclopedia of Economics: Library of Economics and Liberty |
| | Inflation is the loss in purchasing power of a currency unit such as the dollar, usually expressed as a general rise in the prices of goods and services. | | | Economists who view inflation as a very serious problem point to what they call the "inflation tax." By this they mean the reduction in the purchasing power of the cash balances held by the private sector—like a wealth tax. | | | Inflation has tended to increase in periods of slow growth or recession and decrease in periods of expansion. |
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http://www.econlib.org/library/Enc/Inflation.html
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| | Inflation Tax |
| | Deficit financing and inflation are other ways to hide taxes. | | | When inflation is taken into account, there should be a negative entry of $566 because the purchasing power of the original $10,000 has shrunk to $9434 in the second year. | | | Because they had lent long term at fixed rates, the increases in interest rates caused by higher inflation drained away their net worth, and this drainage was the root cause of the large-scale failures in the 1980s. |
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http://ingrimayne.saintjoe.edu/econ/optional/HideTaxes.html
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| | Inflation, by David Ranson: The Concise Encyclopedia of Economics: Library of Economics and Liberty |
| | Inflation is the loss in purchasing power of a currency unit such as the dollar, usually expressed as a general rise in the prices of goods and services. | | | Economists who view inflation as a very serious problem point to what they call the "inflation tax." By this they mean the reduction in the purchasing power of the cash balances held by the private sector—like a wealth tax. | | | Economic losses associated with the inflation tax and other distortions are known as the "welfare cost of inflation." At one extreme of the debate, Harvard economist Martin Feldstein has claimed that the present value of the losses that result from unending inflation may be infinite! |
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http://www.econlib.org/library/Enc/Inflation.html
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| | USATODAY.com - Bush considers factoring inflation for tax break |
| | Inflation indexing would work this way: Currently, if an investor bought stocks worth $10,000 in 1992 and sold them today for $20,000, a 20% capital gains tax — the top rate paid by most investors — would be applied to the $10,000 profit, resulting in a tax bill of $2,000. | | | But using the Consumer Price Index to adjust for inflation over the past 10 years, the taxable amount would be $7,790, for a tax bill of $1,558. | | | If Bush decides against indexing capital gains for inflation, aides say, he will ask Congress to lower the maximum capital gains tax rate, which was cut from 28% to 20% in 1997. |
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http://www.usatoday.com/news/washington/executive/2002-08-21-bush-tax-break_x.htm
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| | Growth versus income: comparing "apples and oranges." (Personal Financial Planning) |
| | An inflation index factor is computed for each year by multiplying the previous year's index by 1 minus the assumed rate of inflation. | | | The "balance after tax" is the amount that would be left if the total account were cashed in and any deferred taxes paid. | | | The tax rate would not be at capital gain rates, but at the ordinary income rates in effect at the time the account was paid. |
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http://www.nysscpa.org/cpajournal/old/16458950.htm
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| | Defining Inflation - Mises Institute |
| | Inflation is not about a general increase in prices; it is about increases in the money supply. | | | Similarly, the essence of inflation is not a general rise in prices but an increase in the supply of money, which in turns sets in motion a general increase in the prices of goods and services. | | | Inflation, it is maintained, also erodes the real incomes of pensioners and low-income earners and causes a misallocation of resources. |
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http://www.mises.org/fullstory.asp?control=908&FS=Defining+Inflation
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| | Chapter 22 |
| | Thus the government uses the inflation tax, instead of taxes on income, to finance its spending. | | | inflation tax: the revenue the government raises by creating money. | | | Students will also find that there are numerous costs to the economy from high inflation, but that there is not a consensus on the importance of these costs when inflation is moderate. |
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http://www.seattlecentral.org/faculty/jhubert/manch22.html
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| | Symmetrical inflation target - Encyclopedia.WorldSearch |
| | A symmetrical inflation target is a requirement on a central bank to pay just as much attention to a situation where inflation is too low as when inflation is too high. | | | That is not the case for The European Central Bank however, which has a non-symmetrical inflation target, meaning it only needs to take action when inflation is too high. | | | The Bank of England for instance has a symmetrical inflation target. |
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http://encyclopedia.worldsearch.com/symmetrical_inflation_target.htm
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| | NCPA - Tax Issues - Inflation's Effect On Capital Gains |
| | Even a small increase in inflation would affect investors with capital gains on their portfolios, and they would lose even if Congress and the White House were to agree to reduce capital gains tax rates from 20 percent to 15 percent. | | | Inflation is at a near-historic low, but there is no guarantee it will not return, economists warn. | | | Even with that 5 percentage point reduction in rates, all that would be needed to undo the reduction is for the underlying inflation rate to increase by one-third of the nominal rate of return. |
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http://www.ncpa.org/pi/taxes/pd072999f.html
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| | Washington Policy Center • Publications |
| | Unused taxing authority may be carried forward from year to year.[4] Referendum 47 established a lower benchmark for the annual tax increase: inflation as measured by the implicit price deflator (IPD). | | | And because annual tax increases are cumulative -- each year’s percentage increase is applied to the higher base of the previous year -- residents in counties that have consistently limited property tax increases to inflation since 1997 are receiving significantly greater benefit than their neighbors who live in consistently high-tax counties. | | | When imposing higher-than-inflation tax increases local officials must now explain their reasons, thus allowing their constituents to be informed of the changes in tax policy that effect their lives and to hold their representatives accountable for these decisions. |
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http://www.washingtonpolicy.org/TaxLimitation/PBGuppyTaxLimitR47Effectiveness.html
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| | Brookings Institution Press, The Labyrinth of Capital Gains Tax Policy, A Guide for the Perplexed |
| | As explained earlier, the inflation tax on bonds and other kinds of income-producing assets is greater than it is on capital gains assets, because tax cannot be deferred on non-capital gains assets. | | | Taxing inflationary gains might be unclesirable, but it is not unfair ex ante because investors know about it before they make their investment decisions. | | | Tax equity and simplicity mean the same thing for capital gains as they do for other forms of income: treat people in similar circum- stances the same way, tax those with more ability to pay more heav- ily than those with lesser ability, and make the tax system relatively easy to comply with and administer. |
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http://brookings.nap.edu/books/0815712707/html/119.html
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| | Bank of EnglandMonetary PolicyMonetary Policy Committee (MPC)Framework |
| | The Government's inflation target is announced each year by the Chancellor of the Exchequer in the annual Budget statement. | | | The inflation target of 2% is expressed in terms of an annual rate of inflation based on the Consumer Prices Index (CPI). | | | The Bank’s monetary policy objective is to deliver price stability – low inflation – and, subject to that, to support the Government’s economic objectives including those for growth and employment. |
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http://www.bankofengland.co.uk/monetarypolicy/framework.htm
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| | AllRefer.com - inflation (Economics: Terms And Concepts) - Encyclopedia |
| | Inflation results from an increase in the amount of circulating currency beyond the needs of trade; an oversupply of currency is created, and, in accordance with the law of supply and demand, the value of money decreases. | | | inflation, in economics, persistent and relatively large increase in the general price level of goods and services. | | | In modern times wars are the most common cause of inflation, as government borrowing, the increase in the money supply, and a diminished supply of consumer goods increase demand relative to supply and thereby cause rising prices. |
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http://reference.allrefer.com/encyclopedia/I/inflatio.html
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| | Move to expand child tax credits hits snag - Boston.com |
| | Citizens for Tax Justice, a private advocacy group, said Mississippi and Louisiana have the largest proportion of families who could see their child tax credits shrink as the minimum-income threshold grows with inflation. | | | Tax laws set a minimum income for eligibility, but that threshold is adjusted for inflation. | | | An effort to keep inflation from eating away at poor families' child tax credits has run into obstacles, even though supporters had hoped poverty revealed by Hurricane Katrina might give new urgency to fixing the problem. |
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http://www.boston.com/news/nation/washington/articles/2005/11/07/move_to_expand_child_tax_credits_hits_snag
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| | Foundation for Teaching Economics Inflation and Money |
| | Inflation is a general increase in the level of prices throughout the economy. | | | Inflation can reduce the rate of growth of national living standards because individuals and organizations use resources to protect themselves against the uncertainty of future prices. | | | Standard 12 - Interest rates, adjusted for inflation, rise and fall to balance the amount saved with the amount borrowed, which affects the allocation of scarce resources between present and future uses. |
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http://www.fte.org/teachers/lessons/efl/efllesson8.htm
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| | Inflation Calculators |
| | This is an inflation calculator for adjusting costs from one year to another using the Employment Cost Index (ECI) inflation index. | | | This is an inflation calculator for adjusting costs from one year to another using the Import Price Index (MPI) inflation index. | | | This inflation calculator is based on the inflation rate during the US Government Fiscal Year, which begins on October 1 and ends on September 30. |
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http://www.jsc.nasa.gov/bu2/inflate.html
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| | Economic Data |
| | Thus inflation or recession will define the creation of debt and the consequent pressure on interest rates will define how respective economies will function, and the resultant creation or retention of wealth both individually and collectively. | | | Inflation is thus either a prelude to recession or a result thereof. | | | Thus the theory of economics is a defining factor in the value of currencies, the creation of wealth (the value of money), and or the creation of debt. |
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http://www.economic-data.com
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| | Hyperinflation, by Michael K. Salemi: The Concise Encyclopedia of Economics: Library of Economics and Liberty |
| | Faced with a shortage of funds, it chose to raise revenue through the inflation tax instead of raising income taxes or reducing other government spending. | | | As inflation rises, people come to believe that their own currency is not a good way to store value and they attempt to exchange their domestic money for dollars. | | | The public is trying to spend the money it receives quickly in order to avoid the inflation tax; the government responds to higher inflation with even higher rates of money issue. |
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http://www.econlib.org/library/Enc/Hyperinflation.html
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| | ECB: The ECB's monetary policy strategy and the quantitative definition of price stability |
| | Furthermore, in practice, most inflation targeting central banks have relaxed the definition of the horizon for inflation targeting and have acknowledged that the feed-back from inflation forecasts cannot be mechanistic. | | | Inflation targeting is generally also viewed as a strategy that places emphasis on the production and discussion of inflation forecasts within central banks. | | | In addition, in recognition of the fundamentally monetary origins of inflation and reflecting the close relationship between the stock of money and the price level in the euro area over the medium term, our strategy assigns a prominent role to money in the formulation of monetary policy. |
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http://www.ecb.int/press/key/date/2001/html/sp011217.en.html
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| | Hidden Taxes |
| | The Clinton inflation tax alone (1992 to the present) has sliced off 18 cents from the value of the dollar. | | | The inflation tax-collected in the form of a continually depreciating currency-has been especially egregious in the postwar period. | | | Meanwhile, the GOP is promising-yet again-to cut taxes. |
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http://www.mises.org/freemarket_detail.asp?control=299&sortorder=articledate
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| | Cost push inflation - Wikipedia, the free encyclopedia |
| | It is argued that this inflation resulted from increases in the cost of petroleum imposed by the member states of OPEC. | | | Cost-push inflation or supply-shock inflation is a type of inflation caused by large increases in the cost of important goods or services where no suitable alternative is available. | | | It is the costs of such a recession that likely causes governments and Central Banks to allow a supply shock to result in inflation. |
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http://en.wikipedia.org/wiki/Cost_push_inflation
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| | Eastern Economic Journal: perception of government bonds and money as net wealth: An integrated approach, The |
| | By "objective," we mean the matter-of-fact calculations of the prospective additional taxes to pay the interest on bonds, and of the inflation tax on money holdings, where the private sector fully recognizes such tax implications. | | | Since all holders of money assets face the identical proportional inflation tax, they are all likely to be equally aware of the tax burden. | | | In sharp contrast, the incidence of the bondinduced tax liability is not directly linked to the amount of bonds held, but falls on the taxpaying public, in general. |
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http://www.findarticles.com/p/articles/mi_qa3620/is_199810/ai_n8816519
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