The concern over inflation
A)is not justified since gains and losses from real wealth transfers cancel out over time for the economy as a whole
B)is irrational since high inflation generally means high growth
C)is attributable primarily to increased transfers arising from cost-of-living adjustments
D)stems from the fact that inflation is rarely predictable and those households who hold fixed dollar assets will experience a loss in wealth
E)none of the above

Question

Quizplus · Accepted Answer

The concern over inflation stems from the fact that it is rarely predictable and those households who hold fixed dollar assets will experience a loss in wealth.

The Concern Over Inflation