This article examines the impact of inflation on the purchasing power of the population, as well as the consequences of this process for households of various social groups. Based on the analysis of existing literature and our own research, the main causes of inflation, its impact on real incomes of citizens and changes in the structure of consumption were identified. The article also suggests measures to protect against the negative consequences of inflation both from the state and at the individual level. The results of the study emphasize the importance of understanding the mechanisms of inflation and its impact on the household economy, and recommend the implementation of strategies to minimize the risks associated with inflationary processes.
To assess the standard of living, the following system of indicators is used: the average wage of employees; the purchasing power of the population based on average wages and pensions; the minimum consumer budget for the main socio-demographic groups of the population; the subsistence minimum, the consumer basket and the structure of consumer spending of various socio-demographic groups of the population. The level of income, including wages of the population, is associated with the social well-being of the family. Depending on the level of income, a person achieves a certain goal: survival, material prosperity, development.
