The price level doubled in a number of instances in less than a week, and in Hungary in 1946, it did so in less than a day. Regarding the other statements, the text provides some additional examples of people who lose out in these various situations, including employers who negotiate wages in advance who may lose out if inflation is less than they expected, workers who negotiate wages in advance who may lose out if inflation is more than they expected, and everyone who loses out if import prices rise even if inflation is at the expected rate.
The way economists define a recession is as follows.
Real GDP would increase while prices kept the same if the aggregate supply and demand curves both moved right by the same amount.
The individuals in the other groups are either unable or unwilling to work.
For instance, the international measure of unemployment disregards someone who seeks full-time job even if they are able to find employment for just one hour per week.
Real GDP was £500 billion, the same as nominal GDP because year 1 served as the foundation year. Prices were half as high in year 1 as they were in year 2, resulting in real GDP in year 2 of £560 billion, or half of £700 billion.
As long as there is a discrepancy between what people want and what the world can provide, which may last forever, there will be an economic crisis. However, as the discrepancy closes, the problem may become less severe.
