Countries need some inflation to have a healthy economy. Inflation is more of an output than input. Economist want economic growth because growth will cause wages to rise. So, for wages to rise a country should experience some inflation. Benefit of inflation to government is that there's inflation in system, tax revenue will go up, even if economy is stagnant. Very low inflation leads to slow economic growth and depress wages so moderate amount of inflation is needed to boost economic growth.

High Inflation is also not good for the economy. Inflation will reduce the value of money, unless interest rate are higher than inflation. Due to high inflation, savers will not get any real return on their money. A good economy encourages people to save too. High inflation is cause of bust in economy as it produces low growth and higher unemployment. Thus having too much inflation is bad for country's economy.

Example of rampant inflation:

Zimbabwe from 2007 to 2009 inflation grew at an unimaginable rate. The inflation rate was 98% and prices almost doubled after every 24 hour. The cause of rampant inflation in Zimbabwe was a result of political changes that led to seizure and redistributing of agricultural land that led to demand-pull inflation. Country was suffering with foreign currency shortage as a result of black market premium. At the same time, country suffered terrible drought which in combination with economic forces led guaranteed failed economy. The leader tried to tackle the problem by printing more money and country descended into hyperinflation.

KINDLY DISCUSS ABOUT STATEMENTS ABOVE REGARDING INFLATION. PLS. PROVIDE YOUR REFERENCES.