Asset inflation:
A)is equal to goods inflation.
B)is the rise in the physical increase in assets.
C)is the rise in asset prices that exceed the rise in the real value of assets.
D)does not occur when the economy faces globalization because prices are capped.

Question

Quizplus · Accepted Answer

Asset inflation refers to the situation where the prices of assets (such as real estate, stocks, or bonds) increase at a rate that outpaces the actual increase in their intrinsic or real value. This can happen due to various factors, including speculative demand or monetary policy effects, rather than improvements in the fundamental value of the assets.

Asset Inflation