Inflation means that
A)all prices are rising, but at different rates.
B)all prices are rising at approximately the same rate.
C)prices on average are rising, although some particular prices may be falling.
D)real incomes are rising.

Question

Quizplus · Accepted Answer

Inflation refers to the general increase in prices across an economy, meaning that on average, prices are rising. However, this does not mean that all individual prices are increasing; some may remain stable or even decrease.

Inflation Means That