In the 1990s, prices in the United States rose steadily by an average of about 2.66% per year. What is the economic term for a sustained increase in the price level such as the one experienced by the United States in the 1990s? Disinflation Hyperinflation Deflation Inflation

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Business

Gracelyn Coleman

25 February, 05:52

In the 1990s, prices in the United States rose steadily by an average of about 2.66% per year. What is the economic term for a sustained increase in the price level such as the one experienced by the United States in the 1990s? Disinflation Hyperinflation Deflation Inflation

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Nikolai Haley · Answer 1

inflation

Explanation:

The inflation rate refers to the rate at which the general price level of the goods and services sold in a country increase from one period to another. Generally inflation is measured in a quarter or yearly basis. A low inflation rate, like the one experienced during the 1990s is generally considered good and healthy for an economy.

When the inflation rate is extremely high, at least 50% per month, it is defined as hyperinflation.