In terms of inflation,the period from the mid-1980s until today in the United States is called the "Great Moderation." This refers to the fact that:
A) the hyperinflation rates of 100% or more experienced during the 1960s, 1970s, and 1980s have been replaced by moderate rates of inflation averaging about 12%.
B) the inflation of the 1960s, 1970s, and early 1980s has been replaced by deflation.
C) the deflation of the 1960s, 1970s, and early 1980s has been replaced by moderate inflation (under 10%).
D) the double-digit inflation of the 1970s and 1980s has been replaced by well-controlled inflation of less than 10%.
E) inflation now fluctuates between 0% and 20%, whereas in the 1970s and 1980s, it fluctuated more wildly and at higher rates.

Question

Quizplus · Accepted Answer

The "Great Moderation" refers to the period of reduced volatility in economic output and inflation, where the high inflation rates of the 1970s and early 1980s were replaced by more stable and controlled inflation rates, generally under 10%.

In Terms of Inflation,the Period from the Mid-1980s Until Today