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If there is an increase in the money supply that cause money to lose it purchasing power and leads to inflation what happens to prices?
they rise
What else can I help you with?
If there is an increase in the money supply that causes money to lose its purchasing power and leads to inflation what happens to prices?
they rise
Q: What is inflation?
Inflation is the rate of increase in prices over a given period of time.
Which of these terms means a general increase in prices and a fall in the purchasing value of money?
inflation
Hbest definition for inflation?
A general increase in prices and fall in the purchasing value of money.
If there is an increase in the money supply that causes money to lose its purchasing power and prices to rise?
It loses purchasing power.
Which term describes a sustained increase in the general level of prices?
Inflation describes a sustained increase in the general level of prices over a period of time, resulting in a decrease in the purchasing power of a currency.
What occurs when there is an increase in prices that decreases the amount of a good or service you can bu?
Inflation is the word used to describe a general increase in prices and reduction in purchasing power of money.
What is a sentence for inflation?
Inflation of a ballon is what causes it to pop,which scares people
What happens when the demand is more than supply?
Prices increase and you have inflation.
What happens if only income increases?
If only income increases, an individual's purchasing power will increase, allowing them to afford more goods and services. However, if prices also increase at the same time, the purchasing power may remain unchanged or even decrease if prices rise more than income. It is important to consider the impact of inflation on the real value of income.
What happens when there is an increase in prices for good and service combined with a reduction in the value of money?
When there is an increase in prices for good and services combined with a reduction in the value of money it is known as inflation.
What happens when there is an increase in prices for goods and services combined with a reduction in the value of money?
When there is an increase in prices for good and services combined with a reduction in the value of money it is known as inflation.
