Older Americans living on a pension and therefore on a fixed income tend to be made
A)better off when prices rise.
B)better off when inflation rates rise.
C)worse off when prices rise.
D)worse off when prices fall.

Question

Quizplus · Accepted Answer

Older Americans living on a fixed income are worse off when prices rise because they have a limited amount of money to spend on necessities such as food, housing, and healthcare. If the prices of these necessities rise, then their purchasing power decreases, leaving them with less money to spend on other items or to save for emergencies or future needs. It is important for policymakers to consider the impact of inflation on vulnerable populations, such as older Americans, when making decisions about economic policy.

Older Americans Living on a Pension and Therefore on a Fixed