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Which of the Following Is Not an Effect of Hyperinflation

Question 27

Multiple Choice

Which of the following is not an effect of hyperinflation?


A) Price differences among sellers of the same product become smaller.
B) People hold on to currency only for very short periods of time.
C) People tend to exchange the currency that is subject to high inflation for a more stable currency.
D) Resources are wasted by constant attention to inflation's effects.
E) Inflation-induced activity that is rational for individuals often has detrimental effects on the economy as a whole.

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