Deflation Can Be a Problem Because It

question 231

Multiple Choice

Deflation can be a problem because it

• A) leads to higher wages.
• B) makes it more difficult to pay off debt.
• C) can easily become hyperinflation.
• D) increases interest rates.

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Definitions:

Interdependence

The mutual reliance between two or more groups, individuals, or systems where the actions of one affect the outcomes of the others.

Accommodation

Or smoothing, involves playing down differences and finding areas of agreement.

Conflict Management

Involves employing strategies to limit the negative aspects of conflict while increasing the positive aspects with the goal of improving learning and group outcomes.

Trivial

Insignificant or of little importance; not worth considerable attention or concern.