The Annual Inflation Rate essays

The Annual Inflation Rate essays Just about everything we do as a nation lends to the annual inflation rate. In this article, though, I have chosen four of the most important variables that influence inflation the most. Inflation is the sustained increase in prices, or in other words, a steady decline in the buying power of the dollar. I have come up with an equation that includes the following variables: the unemployment rate, the federal funds interest rate, per capita income, and new home sales. These variables consistently have shown a relationship to the inflation rate and aggregately may help to explain the cause of inflation. The first variable I chose was the unemployment rate. This is the annual average of persons 15 years of age or older, actively seeking and available for work, but unemployed. (BLS). The relationship between unemployment and inflation provides evidence of a short-run trade-off between the two variables known as the short-run Phillips curve (BLS). The relationship suggests that by accepting higher inflation levels, the Fed can use monetary policy to stimulate the economy and temporarily reduce unemployment. When prices go up, the wages are affected also. This occurs because if no adjustments are made, then the same wages will buy less goods and services, which affects consumer spending. Less spending means less profits, which ends in layoffs and higher unemployment. The flip side reveals the effect of unemployment on inflation. The hypothesis for this variable is that as the unemployment rate decreases, the annual inflation rate will increase. The reasoning here is that if more people are employed and have money, there is more spending, more demand, and therefore prices will rise. The second variable I chose was the federal funds interest rate. Federal funds are the Feds channel of affecting the economy through the banks. The Fed aims to maintain a steady economy with steady growth and stabl ...

Neutrino - definition of a neutrino

Neutrino - definition of a neutrino Definition: The neutrino is an elementary particle which holds no electrical charge, travels at nearly the speed of light, and passes through ordinary matter with virtually no interaction. Neutrinos are created as part of radioactive decay. This decay was observed in 1896 by Henri Bacquerel, when he noted that certain atoms seem to emit electrons (a process known as beta decay). In 1930, Wolfgang Pauli proposed an explanation for where these electrons could have come from without violating conservation laws, but it involved the presence of a very light, uncharged particle emitted simultaneously during the decay. Neutrinos are produced through radioactive interactions, such as solar fusion, supernovae, radioactive decay, and when cosmic rays collide with the Earths atmosphere. It was Enrico Fermi who developed a more complete theory of neutrino interactions and who coined the term neutrino for these particles. A group of researchers discovered the neutrino in 1956, a finding which later earned them the 1995 Nobel Prize in Physics. There are actually three types of neutrino: electron neutrino, muon neutrino, and tau neutrino. These names come from the their partner particle under the Standard Model of particle physics. The muon neutrino was discovered in 1962 (and earned a Nobel Prize in 1988, 7 years before the earlier discovery of the electron neutrino earned one.) Early predictions indicated that the neutrino may have had no mass, but later examinations have indicated that it has a very small amount of mass, but not zero mass. The neutrino has a half-integer spin, so it is a fermion. It is an electronically neutral lepton, so it interacts through neither the strong nor electromagnetic forces, but only through the weak interaction. Pronunciation: new-tree-no Also Known As: Electron NeutrinoMuon NeutrinoTau Neutrino