A requirement for development is
A)an unreliable system of financial institutions
B)a lack of saving by households and firms
C)low confidence in domestic currency
D)low and predictable inflation that encourages saving
E)None of the answers is correct

Question

Quizplus · Accepted Answer

Low and predictable inflation that encourages saving is a requirement for development as it promotes an environment in which households and firms are willing to save and invest in the future, leading to capital accumulation and economic growth. An unreliable financial system, lack of saving, and low confidence in domestic currency can all hinder development.

A Requirement for Development Is