A Decrease in the Overall Price Level (Or Falling Prices)

question 185

Short Answer

A decrease in the overall price level (or falling prices) is called _____. An extraordinarily high rate of inflation is called _____.

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Definitions:

Revolutionary

Marking a dramatic change or shift in tradition, practice, or technology, often leading to significant social, economic, or political transformations.

Raw Materials

Basic natural or processed materials that are used in manufacturing and production to create final products.

Net Present Value

A financial metric that calculates the difference between the present value of cash inflows and outflows over a period, used to assess the profitability of investments.

Rule of 72

A mathematical rule to estimate the number of years required to double an investment at a given annual fixed interest rate.