Inflation - Virtuous Circle of Low Inflation
3 important questions on Inflation - Virtuous Circle of Low Inflation
Why is it referred to as a "virtuous circle"?
It describes how low inflation and low expectations keep inflation low.
What effect does a "virtuous circle" have on the economy?
It creates economic stability and makes prices easier to manage.
What can happen in a "vicious circle"?
High inflation and expectations can lead to even higher inflation.
The question on the page originate from the summary of the following study material:
- A unique study and practice tool
- Never study anything twice again
- Get the grades you hope for
- 100% sure, 100% understanding
Remember faster, study better. Scientifically proven.
