Definition

A situation where prices of goods and services rise over time, leading to a decrease in the purchasing power of money.

Example

The government is trying to control inflation to keep prices stable.

Conversation

Have you noticed how prices keep going up lately?

Yeah, it’s really surprising. I think it’s due to inflation.

Exactly! It's hard to keep up with everything getting more expensive.

I know, right? It makes budgeting a lot more challenging.

Synonyms & Antonyms

Root Explanation

Inflation is formed from "in-" (meaning into or within) and "flare" (from Latin "flare", meaning to blow or to swell). The term describes the process of prices swelling or increasing within an economy.

Memory Tip

Think of prices 'swelling' ('flare') 'within' ('in-') an economy — that's what inflation means.

Visually Confused Words