Which of the following groups would not tend to lose from unexpected inflation?

Question

Quizplus · Accepted Answer

Those whose wages have cost of living adjustment clauses in their contracts would not tend to lose from unexpected inflation because their wages are adjusted to keep pace with inflation. Retirees on fixed pensions and creditors would lose because the value of their income or loan repayment would decrease in real terms. Those whose incomes are tied to long-term contracts would lose if the contracts are not inflation-indexed.

Which of the Following Groups Would Not Tend to Lose