Statement I: We had a period of deflation immediately following World War II.
Statement II: We have not had a period of sustained deflation since the early 1930s.

Question

Quizplus · Accepted Answer

Statement I is false - there was actually a period of inflation immediately following World War II due to pent-up demand and limited supply of goods.

Statement II is true - while there have been some brief episodes of deflation in certain sectors or regions, there has not been a sustained period of deflation for the whole economy since the 1930s.

Statement I: We Had a Period of Deflation Immediately Following