Groups present their "Contrasting Viewpoints" report results. Students assess and vote on which report was more effective. Using the categories of analysis, synthesis, evaluation, and application. Students will share their ratings and the rationale behind the ratings.

*Please turn this report into a few key points to present in class.

Report: The issue of inflation, which can be defined as an increase in the average level of prices of goods and services across an economy over a period of time, is a real-world issue that we have decided to tackle. This can result in a decrease in the purchasing power of individuals as well as businesses, which can then lead to economic instability. The primary objective of this group project is to have a debate between two different points of view regarding the most effective approach to dealing with and reducing inflation. One solution is government-focused and policy-based, while the other solution is market-based.

Solution 1: An approach based on the market The market-based approach to combating inflation entails putting one's faith in the ability of market forces to determine the supply and demand of goods and services, which in turn can have an effect on prices. This strategy calls for relatively little intervention from the government and is predominately grounded in the ideas that underpin free-market economics. According to the market-based approach, the government should stay out of the way of the natural functioning of the economy because the market is able to adjust itself over the course of time. The supply and demand of goods and services are said to be the fundamental drivers of inflation, according to proponents of market-based approaches to economics. When the demand for goods and services exceeds the supply, prices rise, which can lead to inflation. In this hypothetical situation, the market will self-regulate and adjust prices in order to restore equilibrium to the relationship between supply and demand.

The market-based approach has its detractors who argue that following this strategy can result in economic instability. They point to the fact that market forces can sometimes cause price fluctuations and recessions. Additionally, the market-based approach can lead to inequality, as those with more resources may have an advantage in controlling prices.

Solution 2: Government-focused and policies Controlling the supply and demand for goods and services, which can in turn have an effect on prices, is the goal of the government-focused and policy-based approach to combating inflation. This approach involves making use of policies and regulations enacted by the government. This approach involves greater government intervention and is primarily based on the principles of Keynesian economics. The government-focused and policy-based approach contends that in order to reduce the rate of inflation, the government ought to get involved in the economy.

Inflation can be kept under control by the government through the implementation of various policies, including fiscal and monetary policies, according to proponents of the government-focused and policy-based approach. The goal of fiscal policies is to influence economic activity through the use of government spending and taxation, whereas the goal of monetary policies is to influence economic activity through the use of interest rates and the amount of money that is available. By implementing these policies, the government has the ability to either increase or decrease the supply and demand for goods and services, which may eventually result in price stability. Critics of the government-focused and policy-based approach argue that this approach can lead to government overreach and economic inefficiency. In addition, the approach that is focused on the government and is policy-based can result in political conflicts regarding the distribution of the available resources. In conclusion, the market-based approach and the government-focused and policy-based approach are the two opposing viewpoints on how to best address and mitigate inflation. Both of these approaches focus on the government. The government-focused and policy-based approach, on the other hand, argues for increased government intervention as a means of bringing inflation under control. The market-based approach, on the other hand, relies on the natural functioning of the economy and argues for minimal government intervention. Both methods have positive and negative aspects, and the method that will be most successful in a given economy will be determined by the particular conditions that prevail there.