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S1E6: How economics really affects you

Making Money

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The Impact of Inflation on the Economy

Economics should tell us we should be trying to improve people's kind of quality of life, he says. But over a long enough timeline, they've always risen and now more than ever what you do has a light shown on it due to inflation. The RNS is tasked with making sure that prices stay stable by protecting the value of money in the economy. It can move interest rates or print money or destroy money - those are basically the two tools that we have in our toolkit to try and then affect what happens to inflation at 2%.

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