What is the difference between pure and speculative risk?

Both involve the possibility of loss.

Speculative risks involve the possibility of losses and gains, such as investing in the stock market.

Pure risk only involves the possibility of loss, such as insuring a car. There is a possibility that nothing will happen (no gain/no loss), but there is also a possibility of loss from accidents etc. Their is no possibility of gain.

due to the changes the federal reserve is making the unused reserves will impact the economy by them facing inflation. inflation is definfed as the increase in pricing of a good or service but the decline of the value of money used for purchasing those items. when the economy has a high inflation rate, they are subject to money loss and hurt on the economy.