Everything You Ever Wanted To Know About The Worls's Battle With Inflation But Were Afraid To Ask It is the du jour worry in the back of the minds of every investor and regular person on the street. But do people actually know what it means or how it works?

Prices are rising, that's a fact. The U.S. Consumer Price Index and the CPI of any countries around the world indicate that prices are increasing on a variety of goods.

But that's not necessarily a bad thing. Price increases suggest growth. And right now, the U.S. economy is growing, as are economies like China, India, and Germany. But that's only one of the reasons prices are increasing across the U.S. and the world.

Another reason is the weather. The weather has slammed the global economy, reduced crop output, and increased prices for food around the world. All at a time where supplies were already low, and demand was rebounding.

But there's another lingering concern that all of the money the Federal Reserve and other central banks have added to the international finance system to combat the economic downturn is now moving from bank balance sheets to the market.

That stimulus is fueling the economic growth that driving the global recovery. It has been particularly effective in Asia, where now policy markers are pulling back those measures as inflation rises.

Where do we stand in the current conflict with inflation? And how did we get here in the first place?