⦁ You buy certain supplies in South Africa. Would it have been less expensive to buy these supplies in 2013 or in 2020? Explain your answer in complete sentences.
btw its not 2013, i know the teacher told me, i just need an explanation

Respuesta :

Yes, but only in terms of absolute numbers and not inflation.

Explanation:

South African economy has had an inflation rate around 5 percent more most of the decade which is expected to be stable growth and manageable for the population as most people are expected to get a raise of 5 percent every year at least.

Thus, while the product will cost more than it did in 2013 as the cost of living will now be more, it would also mean that the person who is buying the product also has more money to buy it.

Answer: 2020

Explanation: I think that it would be 2020 because when exchanging the USD to ZAR, you are getting more ZAR per USD thus making other items for sale at South Africa technically cheaper for me to get because I have to spend less USD to get more ZAR. My evidence for this would be that in 2013, 1 USD can get you 8 ZAR. And in 2020, you would get 12 ZAR. I also think that the ZAR would be considered a weak dollar as it is cheaper to get certain amounts ZAR in 2020 than 2013. Which also means exporters would benefit more in 2020 because now more people can spend less USD or other currencies for more ZAR so people can buy more products that can only be bought with ZAR.

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