ECONOMICS
SAVING AND INVESTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Amortization
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Inflation
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Lien
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Appropriation
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Detailed explanation-1: -Inflation happens when the price of goods and services increase, while deflation takes place when the price of the goods and services decrease in the country. Inflation and deflation are the opposite sides of the same coin.
Detailed explanation-2: -Inflation is the rate of increase in prices over a given period of time. Inflation is typically a broad measure, such as the overall increase in prices or the increase in the cost of living in a country.
Detailed explanation-3: -Purchasing power loss or gain refers to the decrease or increase in how much consumers can buy with a given amount of money. Consumers lose purchasing power when prices increase.
Detailed explanation-4: -Based on speed, there are 4 different types of inflation – hyperinflation, galloping, walking, and creeping.
Detailed explanation-5: -Inflation occurs when the prices of goods and services rise, while deflation occurs when those prices decrease.