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More often than not, economists agree that inflation is bad and also a defect of an economy because, over time, it destroys the value of money. (Kwok Seng, 2002) In general, inflation touches on the economic behaviours that can have substantial impacts on the operation of the economy, but that of course would depends on whether the inflation is an outcome of anticipated or unanticipated inflation and the degree of inflation as well. (Case & Fair, 2004)
Redistribution of wealth and income
Samuelson & Nordhaus (2005) have said that inflation affects income and wealth unevenly across the population due to the fact that there are differences in the assets and liabilities that people hold and that redistribution occurs because many loans in the economy are stated in terms of money...
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