Bloggarithm

Before 12%, 20,30 profits A cost 100 sp (120+14.4)134.4 A pays 14.4 tax to gov    B cost 134.4 sp (150+18)168 B pays 18 tax to gov, B gets 14.4 from gov  C(final consumer): cost 168  After 5%, 20,30 profits A cost 100 sp (120+6)126 A pays 6 tax to gov    B cost 126 sp (156+7.8)163.8 B pays 7.8 tax to gov  C(final consumer): cost 163.8 Before 8%, 20,30 profits A cost 100 sp (120+9.6)129.6 A pays 9.6 tax to gov    B cost 129.6 sp (150+12)162 B pays 12 tax to gov, B gets 9.6 from gov  C(final consumer): cost 162  After 1%, 20,30 profits A cost 100 sp(120+1.2)121.2 A pays 1.2 tax to gov    B cost 121.2 sp(151.2+1.512)152.712 B pays 1.512 tax to gov  C(final consumer): cost 152.712 

Inflation GDP growth Interest rates Crude Oil prices Fiscal deficit Unemployment rate 2009-2014 1. High inflation - 10.4 average 2. Moderately high GDP growth rate - ~7 3. Fiscal deficit - -4.5 4. Crude oil prices - 100$/barrel 5. Interest rates - 4.5 to 8.5 to 7.5 Inflation causes: Demand vs Supply 1. Demand-pull inflation: When demand increases with enough increment in supply it causes prices to rise.  2. Cost-push inflation: When the cost of production increases the productivity of business reduces which in term reduces the supply keeping the demand constant.