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noun

inflation

/ɪnˈfleɪʃən/  ·  say it: in·FLAY·shən

a general rise in prices over time

In Banking & Finance

In more detail

1. (noun) a general increase in the prices of goods and services, so that money becomes worth less

2. (noun) the act of filling something with air or gas

Examples

How to use inflation

In economics, inflation refers to sustained increases in the general price level of goods and services over time, making money worth less. The term is commonly used in financial discussions, news reports, and policy debates. In everyday contexts, it can also simply mean filling something with air, though this usage is less frequent in contemporary English.

Common phrases

Synonyms

price increase · rise in prices · currency devaluation · deflation of purchasing power

Opposites

deflation · disinflation

Word family

inflate (verb) · inflatable (adjective) · inflationary (adjective) · inflationist (noun)

A common mistake

Learners sometimes confuse inflation (prices rising, money worth less) with deflation (prices falling) or use the term loosely to mean any price increase rather than a general, sustained rise affecting the whole economy.

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