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The Inflation Beat
Q & A
Inflation Forecasting Methodologies
Inflation Scale
The purpose of the Inflation Scale is to provide a referance to the degree of the inflationary forces Vs. the inflationary forces.

To the extreme, if all forces were inflationary, then we'd have major stagflation, which is where the economy is slowing and prices are rising.  

These were the conditions more likely to be found during the 1970's.

At the other end of the extreme, if there were lots of deflationary forces, then there would more likely be a credit boom the economy would prove to be very strong.  

These would be conditions found during most of the 1980s.

Below is the rating scale of the difference inflationary or deflationary forces.

Since there are only 4 factors I'm looking at that offset the monetary inflationary impact of aggregate credit growth per capita, the maximum on either end can be - 8 to + 8.

Any rating that is positive leans more toward stagflationary conditions and lower living standards.

Any rating that is negative leans more toward strong economic growth and higher living standards.  

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