One In the News article titled "Deflation: There Are Bargains Everywhere.Here's Why That Could Be a Problem" suggests that deflation
A)Harms economic growth due to lower profits,more layoffs,and less spending that create a self-reinforcing cycle.
B)Harms the economy because bankruptcies decrease.
C)Harms sellers only,but not buyers since they get better deals without worries of job losses.
D)Results in higher interest rates that further slow the economy.

Question

Quizplus · Accepted Answer

The article states that deflation harms economic growth due to lower profits, more layoffs,and less spending that create a self-reinforcing cycle. This means that businesses make less money, which leads to layoffs and less spending, causing further economic decline.

One in the News Article Titled "Deflation: There Are Bargains