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Which of the following statements is CORRECT ? A. Disinflation refers to a reduction in the rate on inflation. B. Deflation refers to an overall

Which of the following statements is CORRECT?

A.

Disinflation refers to a reduction in the rate on inflation.

B.

Deflation refers to an overall increase in prices.

C.

Hyperinflation may help maintain maximum employment.

D.

Inflation refers to an overall decrease in prices.

Which of the following statements concerning price stability is CORRECT?

A.

High inflation rate can encourage people to save more in the long run.

B.

The preferred target inflation ranges from 1% to 2%.

C.

The higher the deflation rate is, the better the economic condition is.

D.

The higher the inflation rate is, the better the economic condition is.

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