2) explain why a stable 5% inflation rate can be preferable to one that averages 4% but varies between 1–7% regularly.

Question

asked Oct 27, 2018 193k views

1 Answer

Natanavra · Answer 1 · 2018-10-31T13:22:54+0000

A varying inflation rate will be difficult for people to cope with since the price of goods and incomes will not vary as fast as the inflation rate will. A stable inflation rate will allow for adaptations in the economy.

2) explain why a stable 5% inflation rate can be preferable to one that averages 4% but varies between 1–7% regularly.

Please log in or register to add a comment.

Please log in or register to answer this question.

1 Answer

Please log in or register to add a comment.

No related questions found

Categories

Other Questions