Inflation vs. Reflation — What's the Difference?

In economics, inflation (or less frequently, price inflation) is a general rise in the price level of an economy over a period of time. When the general price level rises, each unit of currency buys fewer goods and services; consequently, inflation reflects a reduction in the purchasing power per unit of money – a loss of real value in the medium of exchange and unit of account within the economy.

Reflation is an act of stimulating the economy by increasing the money supply or by reducing taxes, seeking to bring the economy (specifically the price level) back up to the long-term trend, following a dip in the business cycle. It is the opposite of disinflation, which seeks to return the economy back down to the long-term trend.

The act of inflating or the state of being inflated.

(economics) The act of restoring a deflated general level of prices to a previous or desired level.

A persistent increase in the level of consumer prices or a persistent decline in the purchasing power of money.

Inflation of currency after a period of deflation; restore the system to a previous state

The rate at which this increase occurs, expressed as a percentage over a period of time, usually a year.

An act, instance of, or state of expansion or increase in size, especially by injection of a gas.

(economics) An increase in the general level of prices or in the cost of living.

(economics) A decline in the value of money.

(economics) An increase in the quantity of money, leading to a devaluation of existing money.

Undue expansion or increase, as of academic grades.

(cosmology) An extremely rapid expansion of the universe, theorized to have occurred very shortly after the big bang.

The act or process of inflating, or the state of being inflated, as with air or gas; distention; expansion; enlargement.

The state of being puffed up, as with pride; conceit; vanity.

Persistent expansion or increase in the general level of prices, usually caused by overissue of currency, and resulting in a reduced value of the currency. It is contrasted with deflation, and is when it occurs to a very high degree is called hyperinflation.

A general and progressive increase in prices;

(cosmology) a brief exponential expansion of the universe (faster than the speed of light) postulated to have occurred shortly after the big bang

Lack of elegance as a consequence of being pompous and puffed up with vanity

The act of filling something with air