Thursday, December 8, 2011

Inflation-2008: truth and fiction

Finansy26-12-2007-2008 Inflation: truth and fiction Expect a new round of price increases, scare financial experts. 2008 is not allow to sigh with relief. Perpetrators of that - the state that can not or will not correct to place "policy priorities". According to specialists of the Institute of Globalization and Social Movements (IGSO), the main reason for high inflation in Russia, above all, the increase in money supply in the economy. Over recent years, the Russian government practiced release to market of new paper money, increasing the money supply faster than the increased production. " Having your own research, experts IGSO concluded that "no investment in production and social services not only to prevent another explosion of inflation, but also was one of his reasons." Rise in prices of transport services and fares housing sector also does not pass without a trace, according to the IGSO. Recall that in the new year expenditure of the population for these items will increase again. Approximately the same picture painted by the representatives of the financial group «HSBC in Russia." They believe that the depreciation of the money will be directly related to the pre-election increase in salaries to state employees, and cash allowances for military personnel. According to their model, if the salaries of state employees will be raised the same rate as inflation in 2008 will reach 13-14%.

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