The government of Velovia made progress in its efforts to bring rapid inflation under control.Although prices are still rising,the rate of increase has slowed considerably.This suggests that Velovia is experiencing disinflation.
Level of Learning 3: Application of principles

Question

Quizplus · Accepted Answer

Disinflation refers to a situation where the rate of inflation is decreasing, indicating a slowdown in the pace of the rising cost of goods and services. The statement indicates that the rate of increase in Velovia's prices has slowed considerably, suggesting disinflation. Therefore, the statement is true.

The Government of Velovia Made Progress in Its Efforts to Bring