Geography, asked by pbasumatary410, 8 months ago

what is deflation ?​

Answers

Answered by rina26112
12

When the overall price level decreases so that inflation rate become negative,it is called deflation.it is the opposite of the often-encountered inflation. Description: A reduction in money supply or credit availability is the reason for deflation in most cases

Answered by padmashinde1463
4

Answer:

When the overall price level decreases so that inflation rate becomes negative, it is called deflation. It is the opposite of the often-encountered inflation. They may infuse a higher money supply into the economy to counter- balance the deflationary impact. ...

Explanation:

Inflation refers to the rise in the prices of most goods and services of daily or common use, such as food, clothing, housing, recreation, transport, consumer staples, etc. Inflation measures the average price change in a basket of commodities and services over time.

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