How much can my money buy?
Everyone should be familiar with the word "inflation". Do you know what this term means? In this project we hope to help familiarize you with this term by studying the process of inflation.
Inflation is an economic state in which the prices of products or services are rising. Money loses part of its purchasing power, which means that for the same amount you can buy less food or goods than previously possible.
To estimate the level of inflation, economists use the term "consumer basket.” A consumer basket is a set amount of food and household goods consumed by an average family during a given period of time.
The most popular way to estimate inflation is by using the consumer price index. It is calculated on the basis of changes over time in the cost of the consumer basket. Inflation has a serious impact on the living standards of a population. You can verify this by exploring your own consumer basket and tracking fluctuations in the prices of goods that you regularly buy.
This investigation allows you to estimate the growth rate of prices in your area and compare it with other member results to get an objective idea of the rate of inflation in your country.