IMF Policies | Food Supply & Demand | Combatting Inflation

By: Anne Catherine

The economic crisis that the human world faced in the recent times is no longer news. After the events like the Second World War and the Great Depression, the commercial world had to face a large-scale economic slowdown. Not a single country was spared and the impact is such that even powerful countries like the US and Europe are finding it hard to find answers to the recent economic dilemmas and blockheads. One factor that has very badly hit every country and most importantly, the common man, is inflation. The present economic calamity can be very well characterized by factors like inflation and regression. Along with the rapidly rising prices, the concerns and worries of the common man is also rising. The countries are trying their best to protect their citizens from the brunt of inflation but they have not been entirely successful. Inflation has affected the life and the standard of living of the common man as the prices of essential commodities have risen considerably.

When there is a rise in the luxury, specific or seasonal commodities it is not a matter of concern for the lower strata of the society. The middle class and the lower middle class can also be included in this sector though the middle class do not exactly fall in the lower strata. However, the rise in the prices of the above mentioned commodities affect only a particular section of the society and this section is always the minority. The inflation that has taken the world in its sweep in the recent times has not spared any commodity. Even the things that are acutely essential for survival have also witnessed a steep price hike. Inflation generally occurs when the demand for a particular thing exceeds its supply. Currently, inflation is affecting the food industry also. Many countries are facing the prospect of food product scarcity. They are fearful that the stocks that are stored with them will fall short of the demand. Therefore, they are trying hard to secure future demands by making collaborations and taking loans.

The International Monetary Fund (IMF) has received a number of appeals for loans from many countries, especially the developing and the underdeveloped nations so that they can meet the demands of their citizens. Food is the primary commodity for which the countries have approached IMF for loans. Though the (IMF) has sanctioned most of the loans, it does follow certain mandatory conditions before approving any loan. It has its volunteers that make visits to the particular country that has appealed for loan to determine whether it is facing financial problems in reality and only after proper verification; IMF decides to help the country with a loan. Countries are also opting for business collaborations to secure themselves against the onslaught of low supply and rising prices.

Buying and selling is today very often done on the net, thanks to the phenomenon called ecommerce. Though loans are not something that is done in ecommerce, collaborations do exist. Due to the increasing demand of perfection and professionalism as well as for the shortage of time, online traders are relying on to facilitate their online business. They are approaching companies that are equipped with state-of-the-art solutions and several other business solutions. IT companies are the strengths of the countries like India that are reaping huge profits after scaling the ladder of success in ecommerce and IT.

Top Searches on
Computers
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 
 • 

» More on Computers
 



Share this article :
Click to see more related articles