EFFECT OF INFLATION RATE IN

LIFE OF GRADE 11 ABM

STUDENTS OF WORLD CITTI

COLLAGES ANTIPOLO CITY

VILLANUEVA, MA. ANALIE

BORJA, MAKULAY

AQUINO, ARBIE

BONIFACIO, CHRISTIAN GLENN A.

INTRODUCTION

BACKGROUND OF THE STUDY

Inflation rate is the percentage increase in general level of prices over a period. It

reprecents the rate at which the purchasing power of power of money has eroded over

period. Central banks and governments keep track of inflation rate and change

monetary and fiscal policies accordingly. Together with unemployment rate, interest rate

and growth rate, inflation rate communicates lot about health of an economy. When

prices rise for energy, food, commodities, and other goods and services, the entire

economy is affected. Rising prices, known as inflation, impact the cost of living, the cost

of doing business, borrowing money, mortgages, corporate and government bond

yields, and every other facet of the economy.

Inflation rate occurs when there is a sustained increase in the general price level.

Traditionally, high inflation rates are considered to be damaging to an economy. High

inflation rates create uncertainty and can wipe away the value of savings. This are the

factors that may affect Grade 11 Accountancy, Business and Management students of

World Citi Colleges- Antipolo Campus most notably inflation increase cost of education

as school colleges fees , tuition fees, study materials, books uniforms, medical test etc.

so that poor students may not be able to continue his/her studies. House rents, hotel

fees will have higher rent it will greatly affect students who rent boarding houses.

inflation may highly destruct the mind of the students because instead of thinking about

their studies their were busy thinking about money. another thing, nowadays private

educational institutions such as World Citi Colleges- Antipolo are providing better

education as well as placement so only people with money are the ones who will be

able to continue their studies.

This study provides statement of the problem to understand and identify the different

effect of inflation rate which affect the every life Of Grade-11 Accountancy, Business

And Management students. Specifically, this study aims to answer the following

questions:

1. The profile of the respondents in terms of:

a. Age

b. Gender

c. Relationship Status

2. How much is the daily allowance of every Grade-11 ABM Student?

a. Money they spent?

b. How much money they save?

3. Does the inflation affects the quality and quantity of the things you buy?

1.2 OBJECTIVES OF THE STUDY

General Objective: • To deacribe how large inflation affect the ABM Grade 11 students

of WCC-Antipolo

Specific Objective: • To determine how the inflation affect their daily budget.

1.3 SIGNIFICANCE OF THE STUDY

infortance to the ff:

Student. The study is important not only to the researchers but also to the study

itself. The students will have the idea on the changes of prices of the goods they use to

buy and in that way they will be able to manage their money properly

Parents. Theymay also learn something from this research because they're the

one who gave money to their children and they will be able to teach their children to

spend money wisely.

Teachers. They may also benefit on this research because it will give them idea

for a certain topic.

Future researchers. They're the one who may continue and make more solid

study about this topic.

1.4 SCOPE AND DELIMITATION

World Citi Colleges- Antipolo was one of the leading provider of high quality

education. It was respected and praised by many for being one of the leading producers

of highly competent graduates. All grade 11 who taking up Accountancy, Business and

Management strand in WCC-Antipolo will be the respondent on this research. By means

of them, we will know the different effect of inflation rate and how it affect their daily lives

1.5 REVIEW OF RELATED LITERATURE

Inflation is a quantitative measure of the rate at which the average price level of a

basket of selected goods and services in an economy increases over a period of time. It

is the constant rise in the general level of prices where a unit of currency buys less than
it did in prior periods. (Chen, 2019). In the study of (Phelps 1973) an inflation tax on the

holding of real money balances should be part of an optimal system because its

distortions balance with the distortions of other taxes at the margin. In the study of

(Summers, 1999) when the inflation rate is zero, negative real interest rates are

impossible as negative real interest rates would then require negative nominal interest

rates, but negative nominal interest rates are excluded by the liquidity trap. In (Akerlof,

Dickens and Perry, 1996) light of nominal prices regidities some inflation is needed to

allow for the decline of relative prices and to provide the economy with the flexibility to

accommodate structural In the study of (Savanstano and Sharma, 1997) the inflation

taegeting is likely to be more effective strategy if it is phased in only after there has

some successful disinflation.

1.6 REVIEW OF RELATED STUDIES

FOREGIN STUDIES

a. Two years ago, when inflation was still low, student's meal was pretty full

with meat or fish. But now many students have only vegetable or others eat instant

noodle instead of food daily. Student's meal is just one of many influences of inflation to

their life.Infact, inflation affected to student'life about their living,their study and their

spirit.

Student's living become more difficult because of rapidly rising price.With small amount

of support money from their parents,students hard to live well.The cost of living is rising

and students's quality of life is lower.Meal is a change which we can see clearest.How

student can buy meat or fish with high price,nearly 100.000 VND /kg.Because of

that,they use vegetable or even instant noodle instead of daily food.Besides,rent-house

electricity,water fee are all To have a good flat in this time is rather difficult for
students.Therefore,they have to live in small,old,bad condition flats,sometimes they

have a lot of uninvited guests like insects, mouse.Moreover,monthly student must pay

for electricity, water with high prices, depending on the price stipulated by the

landlord.Eating not enough nutrients,living in bad condition flats also caused students's

health. Learning requires pretty much work of the mind so if lack of nutrients,students

hardly to focus on.The higher infltion is,the lower standard living students have.

Inflation also greatly affect to students's studying.Because of rising of the cost of

living,many family can not support for their children well.The school fee,books,study

tools are all increase.How students can absolutely focus on study if they eat not enough

nutrition,lack of money to buy books,study tools.Doing part time job is the best solution

for a lot of students.They can both learn and do part time job as a tutor,a waiter or a

baby sister,etc.However,spending a lot of time to earn money that affects a lots to their

health as well as their study.After hard study period,they continue to do part time job

and come back their rent house in tired.And they may be fail in the final exam.

Not only affect to students's living and study,inflation also affect to their spirit.With a lot

of students,to support for their study is not easy.Parents have to worry and work rather

hard.Especially,in the context of high inflation with the rapidly rising of everything,they

have more difficult.A lot of students are broken heart to receive value money from hard

hands of their parents.How can they do not love as well as worry about their

parents.Some students even think that they are a burden for their parents.They do their

best to study,others do part time job;however,the others can not focus on study and they

drop school.May be there are hardly to happen some cases like that if the inflation not

happen which the cost of living is not too high.And students not to worry too much and

can focus on their study.

Source; https://www.quora.com/What-is-the-impact-of-inflation-on-student-life
LOCAL STUDIES;

At this present, all the foods, transportation and communication are all

increase because of the TRAIN LAW that our President Duterte implemented. It very

hard to budget the income of an ordinary Family man to survive for the whole day to

give all the needs of each member of the family. At this moment our economic financial

is not stable and at risk. The more the commodities increase day by day the impact of

this on Filipino people is really bad. It also helps the Philippines to fall to have more

Filipino become poorer and poorer to all Asian Country. The direct price impact of higher

taxes cannot help to Filipino people in their daily lives. The demand for higher transport

fares can also affect the family of Filipino people who really suffer from the higher and

higher price increase of foods.

On this day the economic expansion per capita income has increased rapidly.

The Filipino people really suffer the increase in inflation because of the TRAIN Law and

the higher tax on fuel, automobiles and other commodities example alcohol beverage,

tobacco, sugary and others. All price increase in transport, foods, clothing, housing,

electricity, education, logistics, and health medication. The cost of money can be passed

on to the consumer through price increase that’s why Filipino suffer a lot because of this

TRAIN Law.

The increase in inflation also suffer the exporters because of the high cost of money,

logistics, and power that make them hard to compete in the global market. The high rate

of money exchange and the continuous dropped of the value of the Philippine peso

affect exports, imports, and business transaction in the country. It also affects all the

investor to think twice before they invest in the Philippines.

filipino-people/

CONCEPTUAL FRAMEWORK

Respondents
The effect of
•age inflation rate in
daily lives of grade
•gender 11 ABM students
of World Citti
•relationship status – Collages

INPUT

INPUT OUTPUT

PROCESS

The figure above shows that the conceptual framework is composed of Input, Process

and Output Input consist of the background of the respondents

Process consist of the steps that will help us to come up with our output

The third box reveals or shows the output of the study

The arrow stand for the feedback of the outcome. It shows the continuous flow.
HYPOTHESIS OF THE STUDY

Based on identified research questions, the researchers formulated a null hypothesis

that "there is a effect on the quality and quantity of the things that the student

Definition of terms

Monetary; adjective: relating to money or currency

Fiscal; adjective: elating to government revenue, especially taxes.

Policies; noun: a course or principle of action adopted or proposed by a government,

party, business, or individual.

Government noun: he governing body of a nation, state, or community

Bond yields, Bond yield is the return an investor realizes on a bond. The bond yield can

be defined in different ways. ... The current yield is a function of the bond's price and its

coupon or interest payment, which will be more accurate than the coupon yield if the

price of the bond is different than its face value.

Facet; noun; one side of something many-sided, especially of a cut gem.

Inflation; noun: a general increase in prices and fall in the purchasing value of money.

Quantitative; adjective: relating to, measuring, or measured by the quantity of something

rather than its quality.

Economy; noun: the wealth and resources of a country or region, especially in terms of

the production and consumption of goods and services.

Disinflation; noun: reduction in the rate of inflation.

2.1 RESEARCH DESIGN

A research design is the set of methods and procedures used in collecting and

analyzing measures of variables specified in the problem research. In this study, the

researchers will be using the one of the four main types of quantitative researvh

designs, the descriptive design. In cirt.gcu.edu , it says that a Descriptive Design seeks

to descrive the current status of a variable or phenomenon. The researchers does not

begin hypothesis, but typically develops one after data is collected. We used this kind of

design to help the researchers find the result or the Effect of Inflation Rate in Life of

Grade-11 Accountancy, Business and Management students in World Citi Colleges -

Antipolo Campus.

2.2 RESPONDENTS OF THE STUDY

For this specific study the researchers aggreed that their respondents should be the

grade 11 ABM students of World citti collages Antipolo City Campus their selves

because this specific study was made for them to realise how INFLATION affects them.

And for them to have an idea how could they possiblhy handle it properly.
2.3 INSTRUMENT OF THE STUDY

Research instruments are measurement tools designed to obtain data on the topic of

interest from research subject (lib.dmu.edu) For this study, the researchers will be using

a survey type of instrument to gather and collect all the data or information from the

respondents that will be needed in this study . The researchers formulate a research

questionaire that will help to gather information this are ff:

1. AGE

2. WHAT IS YOUR SEX

3 HOW MUCH IS YOUR DAILY ALLOWANCE

4. DO YOU HAVE A BOYFRIEND/GIRLFRIEND

2.4 VALIDITY AND RELIABILITY

2.5 STATISTICAL TREATMENT

How much is the daily allowance of every Grade-11 ABM Student? 2.1 Money they

spent? 2.2 How much money they save? 3. the quality and quantity of the things you

buy?