📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

    Question

    What does the economic term 'Inflation' refer to?**

    A Short-term loans Correct Answer Incorrect Answer
    B Year-end financial statements Correct Answer Incorrect Answer
    C Persistent rise in general price levels Correct Answer Incorrect Answer
    D Short-term borrowing rate by RBI Correct Answer Incorrect Answer

    Solution

    Inflation is defined as a sustained increase in the general price level of goods and services in an economy over a period of time. It reflects a decrease in the purchasing power per unit of money—a loss of real value in the internal medium of exchange and unit of account in the economy.

    Practice Next
    More Economics Questions

    Relevant for Exams:

    ask-question