The nation's economic stability has many factors which amount to inflation. Inflation may be caused by a number of problems, but there are some specific examples which have direct control over which way the prices and spending sway. Inflation simply means that the American dollar, in this case, is less valuable on the foreign exchange market and the gold standard is moved to higher prices; which simply means that more currency is needed to exchange …showed first 75 words of 566 total…

…showed last 75 words of 566 total…market which means that it takes more money to equal a yen, mark, or pound. Also, the value of an ounce of gold is worth less due to the gold standard, which lets gold be redeemed for dollars. Inflation has occurred and value of the dollar has decreased. If most people wouldn't panic and just stay calm, less stress would be spread, making the entire economic industry a safer and easier thing to live with.