(Consider This) Which of the Following Statements Is Most Accurate

question 278

Multiple Choice

(Consider This) Which of the following statements is most accurate about economists’ concerns about deflation?

• A)Economists are not concerned about deflation because consumers benefit from the lower prices.
• B)Central banks will encourage deflation by keeping interest rates too low.
• C)Deflation can lead to bankruptcies that trigger a downward deflationary spiral.
• D)Deflation will make a nation’s exports less attractive to foreign buyers.