Vince Is Saving to Buy His First Car

Multiple Choice

Vince is saving to buy his first car. The Mini Cooper he wants is $28,000 right now, but it will take at least a year for him to accumulate the down payment. He also knows that although money is a store of value, he will probably need more than $28,000 to buy the car next year because of

A) bartering.
B) deflation.
C) low interest rates.
D) inflation.
E) recession.