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Inflation is healthy for the economy – but too much can trigger a recession

  • Written by Richard S. Warr, Professor of Finance, North Carolina State University
Inflation is healthy for the economy – but too much can trigger a recessionPrices may go up – but that's not always a bad thing.AP Photo/Elaine Thompson

In a healthy economy, prices tend to go up – a process called inflation.

While you might not like that as a consumer, moderate price growth is a sign of a healthy, growing economy. And, historically at least, wages tend to go up at about the same pace during...

Read more: Inflation is healthy for the economy – but too much can trigger a recession

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