Which statement accurately describes the economic term inflation?

A.

Money is in tight supply, which leads to lower prices but higher unemployment.

B.

There is a greater demand for consumer goods because stock prices are high.

C.

There is a lot of money in circulation, which makes it worth less and creates pressure to raise prices.

D.

Capital to start new businesses or expand existing ones is available through low-interest loans.

Question

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Jimmy

18 June, 02:48

Which statement accurately describes the economic term inflation?

A.

Money is in tight supply, which leads to lower prices but higher unemployment.

B.

There is a greater demand for consumer goods because stock prices are high.

C.

There is a lot of money in circulation, which makes it worth less and creates pressure to raise prices.

D.

Capital to start new businesses or expand existing ones is available through low-interest loans.

+2

Answers (2)

Know the Answer?

Omari Boyle · Answer 1

The answer is C. If you went to google, and then typed in your question, there should be a website that says quizlet, then that website basically gives you the answer to whatever question you may have.

Cael Salazar · Answer 2

Inflation is when their is alot of money in circulation, and the stock is running well.

Answer: C.

There is a lot of money in circulation, which makes it worth less and creates pressure to raise prices.