In 1980, one Zimbabwean dollar was worth 1.47 U.S.dollars.By the end of 2008, the exchange rate was one U.S.dollar to 2 billion Zimbabwean dollars.When an economy experiences rapid increases in the price level such as what occurred in Zimbabwe, the economy is said to experience
A) stagflation.
B) deflation.
C) inflation.
D) hyperinflation.
E) disinflation.
Correct Answer:
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Q245: Hyperinflation can be caused by
A)the government selling
Q246: Describe the impact of shadow banking as
Q247: According to the quantity theory of money,
Q248: The quantity equation states that the
A)money supply
Q249: What is the principle monetary policy tool
Q251: Using the quantity equation, if the velocity
Q252: According to the quantity theory of money,
Q253: The German Hyperinflation of the early 1920s
Q254: Hyperinflation in Zimbabwe was most likely caused
Q255: How effective is the overnight interest rate
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