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Which of the Following Is True About Inflation

Question 77

Multiple Choice

Which of the following is true about inflation?


A) Inflation is an indicator of the decrease in the value of money.
B) During periods of low inflation,businesses that seek to increase their profit margins can do so by increasing their prices significantly.
C) Inflation is a period of economic activity characterized by negative growth.
D) Inflation occurs when the gross domestic product falls for two consecutive quarters.

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