Prices and Money Supply :: essays papers

Prices and Money yieldPrices, money, acquaintance, and engineering may not seem that they should be together, but exclusively of the terms connect in one category. Money is a high-risk issue when talking about worths in the past and present. Knowledge and technology are important, too.Charts and graphs comparing prices of food and other items can be staggering at what it brings forth. In 1915, the price of bread was at seven cents. estimable now, if you go to your local grocery store, you can find a linger of bread for about a dollar. That is most likely the lowest price available for a loaf of bread. The price has doubled fourteen multiplication or has increased by 1328 per centum- startling.The percent change in earnings is not even close to the percent change of prices on foods. The minimal wage in 1938 was twenty-five cents today the minimum wage is at $5.15. The percent increase is exactly 1960 percent. There is a 500 percent difference in prices than wages. T his means you can buy more items with the aforesaid(prenominal) amount of money today, than you could before. In 1910, the money supply was at 3,148,000,000 in 1994, it was at 371,466,000,000. The percent increase is approximately 11700 percent. As you can see, the percent increase of the money supply is greater than the percent increase of prices, 10372 percent larger. This is where knowledge and technology come in to play. Technology has increased greatly, hence letting producing become more competent. Technology would not be assertable without having knowledge which makes technology expand, helping companies all over the world. For example, the assembly breed has lowered car prices greatly. It cuts the hours of making a car. Robots have been replacing existence throughout the world. The reason for replacing humans with robots is that robots do not trim for money they are programmed to run. This is only one of the many examples of technology and knowledge used wisely. If knowledge and technology had not occurred, prices on all sorts of items would be multiplied. The example of the assembly line is perfect for explaining this concept. Lets tell robots were never made and humans are put in the robots position.