Which one of the following statements about deflation is false?
a. Deflation is good for lenders.
b. Deflation is bad for borrowers.
c. Deflation boosts people's real incomes.
d. Deflation raises the burden of carrying debt.
e. During the last half of the 20th century, the U.S. economy has experienced deflation for more years than it experienced inflation.
E
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The demand for money curve is shown in the figure above. What could shift the demand for money curve rightward from the curve illustrated in the figure above?
A) a decrease in real GDP B) a decrease in the supply of money C) a fall in the nominal interest rate. D) an increase in the price level E) a fall in the real interest rate
The Salvation Army is an example of a(n)
a. military organization b. not-for-profit organization c. partnership d. S-corporation e. U.S. government agency