Question

Which sentence best completes the diagram?
Iinflation takes place in
a country.
?
A. Unemployment in the country decreases.
B. Prices in the country increase
C. Prices in the country decrease.
D. Unemployment in the country increases.

Answer 1

Answer:

B. Prices in a country increase.

Explanation:

Many countries use consumer price indices to measure inflation.

Answer 2

Inflation takes place in a price in the country increase. Thus, option (b) is correct.

What is inflation?

The rate at which the cost of goods and services is increasing in an economy is known as inflation. When costs of manufacturing, such as labor and raw materials, rise, inflation may result.

The rate of price growth for goods and services is known as inflation. Consumers' ability to acquire things is frequently impacted by inflation.

As a result, option (b) is correct.

Learn more about on inflation, here:

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