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The Federal Open Market Committee considers an inflation rate that increases annually by 2 percent to be a healthy indicator of price stability and maximum employment. A small level of inflation reduces the chance of har... More »

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The largest waves of increased inflation rates during the 20th century occurred after World War I and World War II. Another major increase in inflation happened from 1970 until the early '80s. More »

www.reference.com World View Social Sciences Economics

As inflation occurs, the central bank is able to adjust interest rates, thus encouraging economic growth. Without adjusted interest rates, there would be little growth during times of inflation as people's purchasing pow... More »

www.reference.com Business & Finance Investing
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The Federal Open Market Committee meets eight times per year, which is approximately every six weeks, and sets the federal funds rate, according to the Federal Reserve. The Federal Open Market Committee adjusts the rate ... More »

www.reference.com Business & Finance Financial Calculations

The rate of employment and economic growth are the two major factors that influenced the median income in 2014, according to CNN Money. A strong economic growth led to an improvement in the median income, while unemploym... More »

www.reference.com Business & Finance Financial Calculations

The inflation rate calculated with the help of the gross domestic product, or GDP, deflator uses the price index that indicates how much of the GDP has changed in the previous year is based on changes in the price level.... More »

www.reference.com Business & Finance Financial Calculations

To calculate the capitalization rate of an asset, get the most recent sale price of the asset and then determine its net operating income. Finally, divide the asset's net operating income by its sale price. More »

www.reference.com Business & Finance Financial Calculations