Dearness OR Inflation OR Price-Hike
A. What is inflation?
B. Inflation is a world-wide problem.
C. Inflation has many reasons:
1. Use of things in abundance
2. Less supply of commodities
3. Rise in standard of living of the people
4. International market rates
5. Over population
D. Inflation causes much harm in a country like Pakistan.
1. The people use unfair means to meet their needs.
2. The economy of a country is worst hit.
3. The country cannot make progress.
4. There is panic in the society.
E. There are some ways to minimize it.
Inflation means when there is an increase in money and the prices of the commodities but there is no increase in the production of commodities of daily use. It is a worldwide problem. But, in Pakistan it has reached an alarming stage.
Inflation has many reasons. First, the excessive use of a thing causes inflation because the more the demand of a thing is, the more its price will be. Second, the prices of the things rise if their supply decreases. This supply may decrease due to hoarding, strikes of the workers, the lock-outs of the factories by the employers, absence of rain and increase in taxes, etc. Third, inflation is also due to rise in standard of living of the people. Rise in standard compels the poor people to follow the people having high standard. So, they need more and more goods of daily use and in this way cause inflation. Forth, inflation is also due to rise in prices of the things in the international marks because the rates of international markets have a direct and indirect effect on the prices of the things which are produced in the country. We export many things from the other countries. Fifth, over population causes inflation. The more the population increases, the more the demand of a thing increases. The increase in demand of things will increase prices.
Inflation causes much harm in a country like Pakistan. In Pakistan, most of the people are poor. Their purchasing power is very low. When they are unable to meet their needs, they use unfair means to fulfill their needs. They become thieves, dacoits, robbers and pick-pocket. Sometimes, they are ready to sacrifice their lives to support their families. They are ready to become terrorists and suicide attackers. Inflation also causes the downfall in the economy of a country. The country cannot make progress. There is panic and sensation in the country. The people protest against the government. There are demonstrations against the country. In Pakistan, we have observed such protests and demonstrations made by the people.
There are many ways to minimize it. First, we can follow the best example set by the Chinese. The Chinese mitigate the use of a thing when its price increases. This step will help a lot in decreasing the prices. Second, the production of the things of daily use should be enhanced. Third, all the countries of the world should make joint efforts to decrease inflation. They should do so on humanitarian grounds. Forth, the people must be guided as for as the problem of over population is concerned. It will decrease the population as well as inflation.
To conclude, every possible effort should be made to overcome inflation so that we could avoid its untold harms. (Words: 462)