The primary conclusion of using inflation accounting is that inflation
A)distorts the tax system and results in slower economic growth.
B)reduces the national debt to its nominal value instead of its real value.
C)causes recessions and increases the structural deficit.
D)distorts government budget accounting by exaggerating interest expense.

Question

Quizplus · Accepted Answer

Inflation accounting distorts government budget accounting by exaggerating interest expense.

The Primary Conclusion of Using Inflation Accounting Is That Inflation