Question

Q. With reference to the concepts of inflation which of the following statements is/are correct?

Select the correct answer using the code given below:

• A.
  1 only
• B.
  2 only
• C.
  Both 1 and 2
• D.
  Neither 1 nor 2

Answer 1

The correct option is D

Neither 1 nor 2
Explanation:

Statement 1 is incorrect: Deflation is the negative growth in the inflation rate.

Statement 2 is incorrect: Disinflation is the rate change of inflation is slower or not proportional.