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Differentiate between core and headline inflation. which one is the preferred measure of inflation by central...

Differentiate between core and headline inflation. which one is the preferred measure of inflation by central bankers and why?
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Inflation:- Inflation means a contineous increase in the general price in the economy. Inflation in other words means too much money chasing too few goods. The purchasing power of money is decreasing. A person is not able to buy too much during inflation. There are two types of inflation that is demand pull and cost push inflation. Inflation is a situation of rising prices in the economy. A more exact definition of inflation is a sustained increase in the general price level in an economy. Inflation means an increase in the cost of living as the price of goods and services rise. The central bank of US that is fed, uses the core inflation to measure the inflation.

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