Inflation refers to the phenomenon that under the condition of currency circulation, because the money supply is greater than the actual demand of money, that is, the actual purchasing power is greater than the output supply, which leads to the devaluation of money and the sustained and general rise of prices for a period of time. Its essence is that the total social demand is greater than the total social supply (demand is far greater than supply).
In Keynesian economics, the reason is that the change of total supply and total demand in the economy has led to the movement of price level. In monetarist economics, the reason is that when the amount of money circulating in the market exceeds the amount of money needed for circulation, paper money will depreciate, prices will rise, leading to a decline in purchasing power, which is inflation.
Expanding information to maintain the basic stability of prices, especially those of important commodities for people's livelihood, is related to the basic livelihood of the people, especially those in difficulty. The National Development and Reform Commission, together with relevant departments, issued a series of policies and measures and formulated a number of plans.
Some measures have been effectively implemented and produced positive results. For example, policies and measures such as subsidies, credit and land are implemented to stabilize pig production, and governments at all levels store and store frozen pork, while strengthening market supervision and cracking down on illegal activities such as market speculation.
In addition, guide all localities to effectively implement the price subsidy linkage mechanism. In view of the obvious increase in food prices in recent years, several provinces timely issued temporary price subsidies to the needy, effectively alleviating the impact of rising food prices on the basic lives of the needy.
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