When There Is No Deflation or Inflation in an Economy

question 57

Multiple Choice

When there is no deflation or inflation in an economy:

• A) Prices of all goods change by the same percentage.
• B) Relative prices remain unchanged.
• C) Average prices remain unchanged.
• D) Full employment is achieved.

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Definitions:

Eustress

A stress that has a positive impact on both attitudes and performance.

Negative Impact

An adverse effect or detriment to something's condition, performance, or well-being.

Attitudes

A settled way of thinking or feeling about someone or something, typically reflected in a person's behavior.

Dogmatism

Leads a person to see the world as a threatening place and to regard authority as absolute.