Monetary and price instability will
A) make it easier for both individuals and businesses to plan wisely for the future.
B) generate uncertainty, and encourage investors and businesses to move their activities to countries with a more stable monetary environment.
C) encourage businesses to invest and expand their future output.
D) encourage domestic citizens to increase their rate of saving.

Question

Quizplus · Accepted Answer

Monetary and price instability generates uncertainty, making it difficult for businesses and investors to plan for the future. This can lead to a shift of economic activities away from countries with unstable currencies and towards those with stable monetary environments.

Monetary and Price Instability Will