Inflation is defined as:
Select one:
a. rising prices
b. an increase in the paper money supply
c. a decrease in the paper money supply
d. none of these is correct

Not a. Got it wrong, it is either b, c, or d.

Respuesta :

Answer:

b, the increase in paper money

Answer:An increase own the paper money supplied.

Explanation:Economically,increasing the money in supply means that more money is available for for lesser goods and services.This increases the purchasing power of consumers which will lead to more demand,with higher demand,producers will increase the prices of goods and services.

On the contrary,more money pumped into the economy will not lead to inflation if only the money in the economy equates goods and services or goods and services is higher than money available in the economy.