Other things being equal,the greater the rate of growth of money:

Question

Quizplus · Accepted Answer

The greater the rate of growth of money, the greater the rate of inflation. This happens when the supply of money increases without a corresponding increase in the supply of goods and services, leading to an increase in prices. Inflation reduces the purchasing power of money, which negatively affects the standard of living, particularly for those on fixed incomes. It also contributes to a higher poverty level as prices increase faster than wages or government assistance. Therefore, option B is the best choice.

Other Things Being Equal,the Greater the Rate of Growth of Money