The inflation rate is a measure of how fast:
A) the total income of the economy is growing.
B) unemployment in the economy is increasing.
C) the general level of prices in the economy is rising.
D) the number of jobs in the economy is expanding.

Question

Quizplus · Accepted Answer

The inflation rate measures the rate at which the general level of prices in the economy is rising. This is calculated as the percentage change in the overall price level from one period to another. It is not directly related to the total income of the economy, unemployment, or number of jobs.

The Inflation Rate Is a Measure of How Fast