An unstable economic environment
A)can be characterized by a series of inflationary booms.
B)can be characterized by a series of deflationary recessions.
C)is likely to inhibit long-run growth.
D)All of the above are correct.

Question

Quizplus · Accepted Answer

An unstable economic environment can be characterized by both inflationary booms and deflationary recessions, as well as inhibit long-run growth due to uncertainty, lack of investment, and decreased consumer and business confidence.

An Unstable Economic Environment