Put simply: because inflation reduces wages in real terms, employers can afford to hire more people.
Longer-term, however, devaluation strangles job creation because inflation slows any returns on investment.
In most cases, the bull run ended because inflation and interest rates were rising and investors feared a recession loomed.
Because inflation expectations DO drive the gold price, as the research papers which Krugman himself points to make clear.
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It is very likely that she will see a COLA, a cost-of-living increase next year, because inflation actually rose this year.
But, in real terms the figures actually mean a cut for the NHS, because inflation has risen since the Spending Review.
Short-term interest rates have fallen to their lowest for 40 years in America and Britain mainly because inflation is so low.
The proposed budget was already super-austere, because inflation is high and oil prices low, reducing revenues from Mexico's state-owned oil company.
The timing is awkward, because inflation is set to rise above 5% in the monthly figures to be reported in October and November.
Another Fed official, Michael Moskow, the president of the Chicago bank, said earlier this week that further rate increases might be needed, because inflation remained a threat.
And shadow chancellor Ed Balls told the BBC the big state pension rise was because inflation had been so high and it would not leave them better off.
BBC: Budget 2012: Ministers under fire over tax allowances for pensioners - BBC News
And because inflation has risen, real rates have actually fallen slightly.
This is because Japan's battered financial institutions, mainly its banks and life insurers, want to buy only risk-free domestic assets, and because inflation is not considered likely.
Meanwhile, if Fed policy does lead to growth in nominal income, it will be because inflation will start to rear its ugly head, not because printing money will spur production.
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Initial interest payments may seem low in relation to income, but because inflation is also low it will not erode the real burden of debt as swiftly as it used to.
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The snag is that the obvious response to a slowing economy cutting interest rates is not an option, because inflation remains well above the Bank of England's target of 2.5% and pay rises threaten to push it higher.
Strategists say it is best to avoid Turkey and South Africa, where growth is slowing but the central banks may be unable to act because inflation has hit worrisome levels and interest rates are already too low.
It reflects a formula that is used to compute wage and salary increases, and is lower than it's been in the past because inflation is lower than it's been in the past, and so follows from that observation.
Probably the worst thing about all of this is that the Fed itself has been using this distorted metric to argue for easy money, claiming in several recent FOMC statements that there is subdued risk of inflation partly because the inflation expectations are low.
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It is important to consider inflation because even mild rates of inflation have profound effects over long periods of time.
FORBES: Managing Your "Tail-End" Risk - Part 2: Deferred and Inflation- Protected Annuities
It's a tax that targeted millionaires in the 1960s, but because of inflation it can now reach middle-income Americans.
But in this instance, the RBI felt that it could not do so because of inflation, Vecchio said.
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It was somewhat illusory because of inflation, but it could feel real good when you were collecting it.
Because tuition inflation has actually gone up even faster than health care.
This is because low inflation flattens the time profile of real debt repayments, making a mortgage more affordable in its early years.
ECONOMIST: The deadly cocktail of high borrowing and falling prices
Because its inflation rate has been higher than in America, this has resulted in low and sometimes negative real interest rates in the 1990s.
And already, because of inflation in Brazil and price deflation in Argentina, the real exchange rate between them is close to its pre-devaluation level.
ECONOMIST: Another president caught in Argentina’s economic trap | The
Investors have shunned these markets all year because of inflation, and a new round of quantitative easing could keep investors at bay in the BRICs for some time.
The group has argued that that corporate taxes, payroll taxes and so-called "bracket creep"--where taxpayers are bumped into a higher tax bracket because of inflation--are all examples of hidden taxes.
The big emerging markets have been selling off since late 2010 because of inflation fears and concerns over how the central banks of these countries would act to manage price increases.
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