An economy is experiencing hyperinflation when average prices of goods and services:
A) decrease by more than 25% per month.
B) increase by more than 100% in a year.
C) increase by more than 50% per month.
D) decrease by more than 50% per day.

Question

Quizplus · Accepted Answer

Hyperinflation occurs when the average prices of goods and services rise by more than 50% per month. Option A and D are incorrect as they describe deflation rather than inflation, while option B provides a lower percentage increase and may not necessarily indicate hyperinflation.

An Economy Is Experiencing Hyperinflation When Average Prices of Goods