A drop in the inflation rate is called:
A) disinflation.
B) deflation.
C) stagflation.
D) hyperinflation.

Question

Quizplus · Accepted Answer

A drop in the inflation rate is referred to as disinflation. Deflation is the overall decrease in general price levels of goods and services. Stagflation is a situation where there is persistent high inflation combined with high unemployment and stagnant demand in a country's economy. Hyperinflation is a rapid and uncontrollable increase in the general price level of goods and services in an economy.

A Drop in the Inflation Rate Is Called