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Explaining Money on Instagram: "Inflation happens when prices rise over time, meaning your money buys less than before. It can be caused by more money circulating in the economy, higher demand for goods, or rising costs for businesses. Central banks usually target around 2% inflation per year to keep the economy growing — too little and the economy slows, too much and your money loses value faster. Understanding inflation helps you plan your spending, saving, and investing so your money keeps up
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