1) Inflation is bad for savers because if the worth or value of money falls with inflation. The money that you saved cannot buy as much as it did.
2) Inflation is good for borrowers the value of their debt goes down with inflation. The money they initially borrowed is woth less in the future.
3) The interest rate is the return on savings and cost of borrowing. If inflation goes up, inflation rates go up, interest rates go up and the cost of borrowing rises.
4) If inflation goes up then interest goes up, the cost of borrowing goes up, so firms take out less loans and investment falls. Firms cannot plan and cannot invest.
5) As inflation occurs prices rise, so firms have to change their menus, catalogues, websites and shop signs. This costs time and money.
6) Aspricesrise, consumers cannot afford as much as before, so they demand higher wages, so firms' costs go up, and their prices rise etc.
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