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Ch 65: MTTC Social Studies (Secondary): Inflation Types & Effects

About This Chapter

This chapter will effectively reacquaint you with the types and effects of inflation. Fun video lessons are employed to present the material and get you ready for associated economics questions on your MTTC Social Studies (Secondary) test.

MTTC Social Studies (Secondary): Inflation Types & Effects - Chapter Summary

By watching these engaging video lessons, you can refresh your memories of types of inflation and its effects. You should leave the chapter set to tackle any questions on the MTTC Social Studies (Secondary) test involving:

  • The consumer price index
  • Differences between real wages and nominal wages
  • Calculating real GDP growth rates
  • How nominal and real GDP differ
  • Cost-push and demand-pull inflation
  • Inflation's impacts on consumers as well as suppliers

You can easily go back in a video lesson or skip over any parts during your review through the embedded the video tags. Confirm your familiarity with the content by answering the questions on each lesson's self-assessment quiz.

MTTC Social Studies (Secondary): Inflation Types & Effects Chapter Objectives

The MTTC Social Studies (Secondary) exam helps to establish your suitability for a Michigan social studies teacher certification. The part of the test that's relevant to this chapter is the economics subarea. All of the questions from this particular section are multiple choice and make up approximately 13% of your score.

11 Lessons in Chapter 65: MTTC Social Studies (Secondary): Inflation Types & Effects
Test your knowledge with a 30-question chapter practice test
Consumer Price Index: Measuring the Cost of Living and Inflation

1. Consumer Price Index: Measuring the Cost of Living and Inflation

In this lesson, you'll learn what the Consumer Price Index is and how it measures changes in the level of prices in an economy. You'll also learn about the important economic concepts of inflation and deflation. Why do prices always seem to be going up?

The GDP Deflator and Consumer Price Index

2. The GDP Deflator and Consumer Price Index

Have you ever wondered how inflation is measured? This lesson will compare and contrast two of the indicators used to measure inflation - the consumer price index and the GDP deflator.

Consumer Price Index and the Substitution Bias

3. Consumer Price Index and the Substitution Bias

In this lesson, you'll learn about the Consumer Price Index and how it is measured. You'll also learn why many economists believe that the Consumer Price Index overstates inflation.

Adjusting Wages for the Inflation Rate

4. Adjusting Wages for the Inflation Rate

Have you ever heard your parents complain that a dollar doesn't go as far as it used to? In this practical lesson, learn how to calculate the real wage by adjusting the nominal wage to account for changes in the price level within the economy.

Gross Domestic Product: Nominal vs. Real GDP

5. Gross Domestic Product: Nominal vs. Real GDP

Watch this video and you'll learn the difference between nominal GDP and real GDP with the help of a memorable story about a competition between twin brothers.

Gross Domestic Product: How to Calculate Real GDP

6. Gross Domestic Product: How to Calculate Real GDP

Learn how to adjust economic output for inflation using real GDP. This calculation enables economists to remove the effect of rising prices and more accurately compare economic output from multiple years.

How to Calculate Real GDP Growth Rates

7. How to Calculate Real GDP Growth Rates

How can you tell how much the economy is really growing from year to year? In this lesson, you'll discover the formulas economists use to calculate real GDP growth rates and draw conclusions about real economic growth.

The Multiplier Effect and the Simple Spending Multiplier: Definition and Examples

8. The Multiplier Effect and the Simple Spending Multiplier: Definition and Examples

When money is spent in an economy, this spending results in a multiplied effect on economic output. This lesson explains the multiplier effect and the how to use the simple spending multiplier to calculate it.

Cost-Push Inflation: How the Supply Side of the Economy Leads to Inflation

9. Cost-Push Inflation: How the Supply Side of the Economy Leads to Inflation

Learn about cost-push inflation, when higher production prices lead to an increase in prices within the economy. Using real-world examples, this lesson describes what it is, what causes it and how economists illustrate it.

Demand-Pull Inflation vs Cost-Push Inflation

10. Demand-Pull Inflation vs Cost-Push Inflation

Discover two basic types of inflation, demand-pull and cost-push inflation. Learn what factors cause each type of inflation and some of the key differences between each.

Effects of Inflation on Suppliers and Demanders

11. Effects of Inflation on Suppliers and Demanders

In this lesson, you'll discover who benefits and who suffers from a sustained increase in prices within an economy. We'll cover the effects of expected and unexpected inflation on savers/creditors and borrowers/debtors.

Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
Not Taken
Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
Not Taken

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Other Chapters

Other chapters within the MTTC Social Studies (Secondary)(084): Practice & Study Guide course

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