Which of these is true about inflation?

Question

Quizplus · Accepted Answer

All of the options are true about inflation. Inflation is caused by a number of factors, including the supply and demand for a currency. As the supply of money in circulation increases, so does inflation. The erosion of purchasing power is one of the key effects of inflation, as the cost of goods and services increase over time. This is due to the fact that as the value of money decreases, the cost of everything else goes up. Therefore, all options are correct.

Which of These Is True About Inflation