7.Wholesale and Retail Trade

The wholesale trade sector comprises establishments engaged in wholesaling merchandise, generally without transformation, and rendering services incidental to the sale of merchandise. The wholesaling process is an intermediate step in the distribution of merchandise. Wholesalers are organized to sell or arrange the purchase or sale of (a) goods for resale (i.e., goods sold to other wholesalers or retailers), (b) capital or durable nonconsumer goods, and (c) raw and intermediate materials and supplies used in production. Wholesalers sell merchandise to other businesses and normally operate from a warehouse or office.

The retail trade sector comprises establishments engaged in retailing merchandise, generally without transformation, and rendering services incidental to the sale of merchandise. The retailing process is the final step in the distribution of merchandise; retailers are, therefore, organized to sell merchandise in small quantities to the general public. This sector comprises two main types of retailers: store and nonstore retailers.

8. Money

Money is a very important factor in the economy and economics. Goods are produced to be sold. They are sold to meet the needs of consumers or customers. Services are rendered to make life easier/ People earn money to be able to pay for both goods and services / Banks cannot operate without money / That is why people say that Money makes the world go round /

Money has three basic function / It serves as a medium of exchange as a measure of relative value and as a store of value/

As a medium of exchange money enable two individuals to exchange without having to barter/

As a measure of relative value money allows two dissimilar items to be purchased on a similar bases/ It is in terms of money that we think value/

As a store of value money makes it possible for us to hold onto the value over time/

9. Inflation

Inflation is generally defined as a persistent rise in the general prise ,level with no corresponding rise in output , which leads to a corresponding fall in the purchasing power of money .It leads to a redistribution of income and wealth , often hurting sectins of society with little economic power, affects balance of payments because exports – become relatively expensive and therefore less competitive as imports become relatively cheaper.

Ukraine’s inflation rate hit 26.2% year on year in March, up from 21.9% in February and 19.4% in January, according to the state statistics office. Food and beverage prices rose by 40.7% year on year in March, health and education costs each grew by more than 17% and restaurant and hotel charges increased by 25.2%. Underlining the generally inflationary environment, prices for miscellaneous goods and services also expanded faster than headline inflation.

How to Fight Inflation

1. Work within a community. Throughout tough times, communities have worked together,

2. Get the means of production. When inflation is rampant, it helps to be actually producing something.

3. become as self-sufficient as possible. Another way inflation hits consumers is that their currency will not buy as much or as many goods and services as before.