Inflation Rate between Singapore and the UK
Inflation is the meaning of an increment in the general level of prices for goods and services in economy over of a period time. GDP deflator (gross domestic product deflator) is a way for measuring the changes in the average of prices of all goods and services that constitute GDP (gross domestic product).
As shown in the graph above, in year 2007, the inflation rate of Singapore higher than United Kingdom. It is because the Singapore’s electronic road pricing (ERP) rates are already raised for not only 2nd times but 3rd times in the year. In Addition, it also due to wages of employees increased, this causes the increasing of quantity of demand and cause higher price in a malicious inflation. As a result, the prices of oil, goods and services are also followed to rise and hence caused inflation. While in United Kingdom, the changes of the inflation rate are not so distinctness. In year 2007, the reason why the inflation rate is 2.3 is because of United Kingdom has lower the transport costs and also lower the price of food. Besides, it also due to the mortgage interest payment decreased. This cause the quantity demanded of food increase. Hence, the inflation rate is lower than Singapore.
Secondly, in year 2008, Singapore’s inflation rate is large decreased and lower than United Kingdom because the cost-of-living allowance and food prices are increased. Besides that, 7 rising in price of petrol reflect on the increasing of the price of transportation and communication. Since inflation is occurred, the prices of goods and services increased. Hence the quantity demanded is drop. In year 2008, United Kingdom inflation rate is increased and higher than Singapore because of the rising price of food and non-alcoholic drinks. Besides, it also due to the costs of meat products, particularly bacon and also vegetables increased. In addition, it is also because of the weakening demand in the
As shown in the graph above, in year 2007, the inflation rate of Singapore higher than United Kingdom. It is because the Singapore’s electronic road pricing (ERP) rates are already raised for not only 2nd times but 3rd times in the year. In Addition, it also due to wages of employees increased, this causes the increasing of quantity of demand and cause higher price in a malicious inflation. As a result, the prices of oil, goods and services are also followed to rise and hence caused inflation. While in United Kingdom, the changes of the inflation rate are not so distinctness. In year 2007, the reason why the inflation rate is 2.3 is because of United Kingdom has lower the transport costs and also lower the price of food. Besides, it also due to the mortgage interest payment decreased. This cause the quantity demanded of food increase. Hence, the inflation rate is lower than Singapore.
Secondly, in year 2008, Singapore’s inflation rate is large decreased and lower than United Kingdom because the cost-of-living allowance and food prices are increased. Besides that, 7 rising in price of petrol reflect on the increasing of the price of transportation and communication. Since inflation is occurred, the prices of goods and services increased. Hence the quantity demanded is drop. In year 2008, United Kingdom inflation rate is increased and higher than Singapore because of the rising price of food and non-alcoholic drinks. Besides, it also due to the costs of meat products, particularly bacon and also vegetables increased. In addition, it is also because of the weakening demand in the