During periods of high and variable inflation,which of the following is unlikely to occur?

Question

Quizplus · Accepted Answer

During periods of high and variable inflation, individuals will be hesitant to make long-term contracts since they cannot predict with certainty the inflation rate and the corresponding prices. This uncertainty makes it difficult for individuals to benefit from higher prices in the long term. Therefore, it is unlikely that individuals will want to make long-term contracts in such an environment. The other options are likely to occur during periods of high and variable inflation.

During Periods of High and Variable Inflation,which of the Following