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LoginWhat is deflation?
Interview Questions Social Sciences 1 year ago
Posted on 18 Jan 2024, this text provides information on Social Sciences related to Interview Questions. Please note that while accuracy is prioritized, the data presented might not be entirely correct or up-to-date. This information is offered for general knowledge and informational purposes only, and should not be considered as a substitute for professional advice.
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Best Answer
1 year ago
OMICS, deflation is a DECREASE in the general price level of goods and SERVICES. Deflation occurs when the inflation rate falls below 0%. Inflation reduces the value of currency over time, but sudden deflation increases it.Deflation can be caused by a combination of different FACTORS, including having a shortage of money in circulation, which increases the value of that money and, in TURN, reduces prices; having more goods produced than there is demand for, which means businesses must decrease their prices to get people to buyClick Here For Explanation