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The currency issuance of a country is determined by the productivity of the entire country. In macro, the state must estimate the country's GDP before determining the amount of currency issuance. To put it simply, the currency supply of a country must be equal to the total domestic commodity value, which means that a commodity must have its corresponding currency amount, otherwise it will lead to tight or inflation. The time is tight, otherwise it is inflation.
What is inflation
It, inflation is the currency issuance of a country far exceeding the actual amount of currency required, resulting in the increase in prices and the depreciation of currency. In fact, the purchasing power in the market is higher than that of productivity. For those who cannot supply the market demand in the market, it will lead to rising commodity prices. To buy the same commodity, more currency is required, which is equivalent to the depreciation of the currency. However, the depreciation of the currency is different. The depreciation of the currency is relatively reduced by the currency value between different economies, and the currency depreciation caused by inflation is a decline in the overall currency value in an economy. Or it will be relieved after the increase in the supply of goods.