noun
inflation
in-FLAY-shuhn/ɪnˈfleɪʃn/
A general rise in prices that reduces money's purchasing power.
High inflation makes it harder for families to afford everyday necessities.
Etymology
Blowing into something makes it swell; inflation carried that image into the enlargement of prices. The monetary use originally referred to price increases through an increase in money in circulation.
In context
when there's too much money chasing too few goods prices go up and that drives inflation higher
More examples
- My raise barely keeps up with inflation.
- Inflation reduces the buying power of our savings.
- Lower inflation means prices rise more slowly, not that they fall.
Forms
inflation
inflationary adjective — Causing or relating to rising prices.
Similar words
- price increases
- May affect individual items rather than prices across an economy.