Question

An increase of currency in relation to the amount of goods available resulting in higher prices is called

Answer 1

inflation is the rising of prices of goods which results in the fall of value for money

Answer 2

Inflation consists on a sustained increase in the general price level of goods and services in an economy over a period of time. Inflation means a reduction in the purchasing power per unit of money, that is a loss of real value.

However, deflation increases the value of currency over time as it consists on a decrease in the general price level of goods and services.