Was caused by the war. 7 000 000 000 000% in 1923 Other
countries that suffered inflation at that time-Austria, Hungary,
Poland, USSR
Slide 9
Yugoslavia broke. Government printed money. Unemployment rose
to 30% New currency Dinar was created. Inflation 5
000000000000000%(quadrillion) 12 Nov. 93 1 Deutsch mark=1million
new dinars 15 Dec.93 1DM=3.7 billion new dinars End of December
1DM=3 trillion new dinars. New new dinar created Novi dinar
eliminated inflation
Slide 10
Slide 11
Unemployed-those of working age who are without work, but who
are available for work at current wage rates Labour force-those who
are employed and unemployed. UK government definition: Unemployed-
people of working age who are without work, available to start
working within 2 weeks and actively seeking employment, or waiting
to take up an appointment
Slide 12
Feb 2013 European Unemployment Data, courtesy of Eurostat
To employee-loss of earnings Lack of money cause problems in
families Government gets less taxes (VAT) Firms lose profits
Workers lose additional wages(higher output) General increase of
violence and crime
Slide 15
Unemployment
Slide 16
USA inflation and unemployment rates during the 1960s
Slide 17
Inflation and unemployment are essential for economy Depending
on inflation, unemployment changes. Inflation is more crucial to
control.
