Which example is a LIKELY response to inflation?
A) People choose to carry higher money balances.
B) People tend to make fewer transactions.
C) People tend to make more transactions.
D) People tend to hold on to fewer interest-bearing assets.

Question

Quizplus · Accepted Answer

During inflation, people tend to make more transactions to spend money before it loses more value, as prices are rising.

Which Example Is a LIKELY Response to Inflation