IMPACT OF INFLATION ON GROWTH & DEVELOPMENT

One of the most important aspects of human development is the ability to have a decent standard of living.
Inflation is having a higher effect on the consumption Pattern of Low Income people. Because Increase in price
levels several affect their consumption due to reduction in purchasing power. Economic growth of a Country
is the result of monetary fiscal and economic policies undertaken by its policy makers. Inflation has long been
the common man's concern about economy. (Economic growth relationship between price growth and economic
Growth). Economic growth is affected by a number of factor's one of which is Inflation. The relationship between economic
growth and price growth is a complex one. Empirical studies have shown that the relationship between economic
Growth and Inflation may be positive, negative and neutral.
Today, there are no doubts that high Inflation has a negative effect on economic growth-Economic growth
Leads to an Increase in the wealth of the country as a whole by extending its potential in the fight against
poverty, unemployment Income distribution and social problems.