Most of the problems caused by inflation are caused by the fact that
A)there are no ways available for people to protect themselves against inflation.
B)anticipated inflation induces people to protect themselves against the inflation.
C)inflation causes the purchasing power of the dollar to increase.
D)the inflation is often unanticipated,and therefore comes as a surprise to individuals in the economy.

Question

Quizplus · Accepted Answer

Inflation primarily causes issues because it is often unanticipated, leading to surprises that individuals and businesses are not prepared for, affecting budgets, savings, and investment decisions. Anticipated inflation allows for adjustments and planning, whereas unanticipated inflation disrupts economic decisions.

Most of the Problems Caused by Inflation Are Caused by the Fact