Which of the Following Statements Is NOT True About Inflation

question 252

Multiple Choice

Which of the following statements is NOT true about inflation?

• A) Inflation is a sustained increase in the average prices of goods in the economy.
• B) During an inflationary period, the prices of some goods will increase while the price of some goods will decrease.
• C) When there is inflation, the purchasing power of a dollar decreases.
• D) During an inflationary period, the prices of all goods will increase.