Which of the Following Is Not an Effect of Hyperinflation

question 20

Multiple Choice

Which of the following is not an effect of hyperinflation?

• A)Price differences among sellers of the same product become larger.
• B)People hold on to currency only for very short periods of time.
• C)People tend to exchange the currency that is subject to high inflation for a more stable currency.
• D)More resources are used efficiently to overcome inflation's effects on transactions costs.
• E)Inflation-induced activity that is rational for individuals often has a detrimental effect on the economy as a whole.

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Definitions:

NOT Function

A logical operation that inverts its input; if the input is true, the output is false, and vice versa.

AND Function

A logical operation that returns true only if all the operands are true.

Boolean Equation

A mathematical expression using Boolean algebra, involving operators like AND, OR, NOT, representing logical relationships.

Inverter

The digital circuit that performs inversion.