If P_t Is the Price Level in Time T, Inflation $P _ { t + 1 } / P _ { t }$

Multiple Choice

If P_t is the price level in time t, inflation is calculated as:

A) 1/P_t
B) $P _ { t + 1 } / P _ { t }$
C) $P _ { t + 1 } - P _ { t }$
D) $P _ { t } / P _ { t + 1 }$
E) $\left( P _ { t + 1 } - P _ { t } \right) / P _ { t }$