Question on: SS2 Economics - Value of Money And The Price Level
How does inflation affect the value of money?
View related lesson
A
Inflation increases the value of money
B
Inflation has no effect on the value of money
C
Inflation decreases the value of money
D
Inflation has the opposite effect on the value of money depending on the country
Ask EduPadi AI for a detailed answer
Correct Option: C
(Inflation is the rate at which the general price level is increasing over time. Inflation can decrease the value of money, by reducing the purchasing power of a given amount of currency)
Add your answer
Please share this, thanks!
No responses