Inflation rate in New Zealand 2029

Prices in New Zealand rose by 1.72 percent in 2020. Central bankers at the Reserve Bank of New Zealand were surely relieved to see the rebound from the dangerously low .29 percent inflation in 2015. What is inflation? Inflation is the rise in price levels in an economy. 2 percent inflation means 100 New Zealand dollars will be worth 98 dollars in one year. While the precise inflation target varies, most economists agree that inflation between 2 to 3 percent is optimal for an economy. High inflation can lead to higher unemployment because firms would rather wait and higher workers at the same price using future dollars, making the labor relatively cheaper. However, it affects the trade balance because of the relatively higher purchasing power of foreign currencies. Other risks of inflation and deflation Inflation helps a country with higher national debt when the debt is in the local currency, because the country can repay with the future dollars which are relatively cheaper. Deflation, then, helps when debts are in a foreign currency. The main problem with deflation is that investors prefer to hold their money, waiting to invest until it is worth more. This is particularly true of countries like New Zealand, where the lion’s share of employment is in the services sector.

新西兰2020年的物价上涨了1.72%。新西兰储备银行的中央银行家们看到从2015年那近乎危险的低通胀率0.29%的反弹，无疑感到释然。那么，通胀究竟是什么？通胀指的是一国经济中价格水平的上升。2%的通胀率意味着一年后，100新西兰元将只相当于98美元。尽管精确的通胀目标存在差异，但大多数经济学家普遍认同，2%至3%的通胀率对经济而言是最为理想的。高通胀可能导致失业率上升，因为企业更倾向于等待，并在相同的价格下使用未来的货币支付工资，从而使劳动力成本相对降低。然而，通胀也会影响贸易平衡，因为外国货币的购买力相对较高。通胀与通缩的其他风险在于，当债务以本币计价时，通胀有助于缓解高国债负担的国家，因为该国可以用相对便宜的未来的货币偿还债务。而通缩则在债务以外国货币计价时提供帮助。通缩的主要问题是投资者更倾向于持有现金，等待货币增值再进行投资。这在以服务业为主的新西兰尤为明显，该国就业市场的绝大部分岗位均位于服务业。