Inflation Rate: Trust the Computation of Bank Negara Malaysia?

INFLATION RATE computation by Bank Negara Malaysia is done on an overall manner for a COUNTRY, while each one of us on INDIVIDUAL level, will still experience different inflation rate. YES, we can trust Bank Negara Malaysia computation of inflation rate as it is done based on basket of goods changes in price for a COUNTRY.…

Inflation Rate: The Construction of Price Index by Authority

OUR central banks have their ways of computing the inflation rate. Can we just pluck-and-use the numbers? Following our article on Inflation Rate, you would now know what is inflation rate and why it matters to investors. But still, the question lingers, “how did the central banks (including Bank Negara Malaysia) compute their inflation rate?…

What is Inflation Rate?

“Perception is real, even when it is not reality” ~ Edward de Bono Inflation refers to a sustained rise in the overall level of prices in an economy. Economists use various price indices to measure the overall price level, also called the aggregate price level. The inflation Rate is the percentage change in a price index—that is, the…