(Consider This) Which of the following statements is most accurate about economists’ concerns about deflation?
A) Economists are not concerned about deflation because consumers benefit from the lower prices.
B) Central banks will encourage deflation by keeping interest rates too low.
C) Deflation can lead to bankruptcies that trigger a downward deflationary spiral.
D) Deflation will make a nation’s exports less attractive to foreign buyers.
Correct Answer:
Verified
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