Inflation and deflation are both bad- But they are not equally bad- Wh.pdf

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Inflation and deflation are both bad. But they are not equally bad. Which one is worse, and why? a. Deflation is worse, because it reduces both wages and the prices of consumer goods, but wages go down faster. b. Inflation is worse, because it makes everyone poorer by reducing the purchasing power of the dollar. c. Inflation is worse, because it can lead to people no longer being able to afford to buy the same things that they used to. d. Deflation is worse, because it causes all the same problems as inflation but in addition to that it also discourages consumption and investment..

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