Deflation is a situation in which the
A) quantity of goods and services produced is increasing over time.
B) quantity of goods and services produced is decreasing over time.
C) prices of most goods and services are falling over time.
D) prices of most goods and services are rising over time.
E) prices of most goods and services are not changing over timE.

Question

Quizplus · Accepted Answer

Deflation is characterized by a general decrease in the price level of goods and services in an economy over time. This is opposite to inflation, which is characterized by a general increase in the price level.

Deflation Is a Situation in Which the