Which of the Following Statements Is FALSE

question 71

Multiple Choice

Which of the following statements is FALSE?

• A) When unanticipated inflation occurs regularly, the degree of risk associated with investments in the economy increases.
• B) Inflation that is higher than expected benefits debtors, and inflation that is lower than expected benefits creditors.
• C) Whether you gain or lose during a period of inflation depends on whether your income rises faster or slower than the prices of things you buy.
• D) There are no costs or losses associated with correctly anticipated inflation.

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Definitions:

Sanctions

Penalties or rewards for conduct concerning a social norm.

"As If"

Used in various contexts to indicate acting or thinking in a way that reflects an assumption or pretense, often associated with theoretical or hypothetical scenarios.

Culture

The complex system of meaning and behavior that defines the way of life for a given group or society.

Functions

are the intended or expected outcomes of social institutions, practices, or structures in society.