2009 · Q74
- 1Falling positive inflation is deflation.
- 2Deflation reduces real value of money.
- 3Not all deflations saw poor growth. Which correct?
indian-polity-economyeconomy-fundamentals
- A1, 2 and 3
- B1 and 3 only
- C3 only
- D2 only
Explanation
Falling but positive inflation is disinflation; deflation raises money's real value; only 3 is correct.