inflation

Vocabulary Word

Definition

'Inflation' is when the cost of things, in general, starts going up over time. For example, if a bag of apples used to cost $5, and due to inflation, it now costs $6, it means the buying power of your money is getting weaker.

Examples in Different Contexts

In the technology sector, 'inflation' can impact the cost of production and operational expenses. A tech company CFO might say, 'Inflationary pressures require us to strategically manage our costs and pricing to maintain profitability and competitive edge.'

Practice Scenarios

Business

Scenario:

Given the growing inflation rate, it's crucial for us to reassess our budget forecasts and spending.

Response:

Absolutely, we need to revise our financial strategies considering the sustained inflation.

Tech

Scenario:

The recent inflation has affected the cost of server maintenance. We need to focus more on improving efficiency to mitigate the extra expenses.

Response:

Right, with the ongoing inflation, it would be wise to retune our operational efficiencies for cost control.