Question 1

What is inflation?

Accepted Answer

Inflation is the general increase in prices of goods and services in an economy over a period of time. When there is inflation, the purchasing power of money decreases.

Question 2

Where does the inflation data come from?

Accepted Answer

The inflation data comes from the Bank of Mexico (Banxico), Mexico's central bank, which publishes the National Consumer Price Index (INPC).

Question 3

How is purchasing power calculated?

Accepted Answer

Purchasing power is calculated by adjusting the original value by the cumulative inflation rate during the selected period.

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