Which of the following types of inflation prevails before attaining full employment, and stimulating production, employment and income?

Creeping inflation

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Hyper inflation

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Galloping inflation

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Running inflation

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Solution

The correct option is A
Creeping inflation

A moderate rise in the prices creates creeping inflation which has a favourable effect on the production. Businessmen are induced to invest more and as a result output and employment increase till the stage of full employment.

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Similar questions

S.no	Type of inflation	Description
1.	Walking Inflation	Rate of inflation slowly increases over time at 1 to 4 $%$ .
2.	Creeping Inflation	Inflation is in single digit numbers ranging from 4 $%$ to 10 $%$ .
3.	Galloping inflation	Inflation rate reaches the range of 20 $%$ up to 1000 $%$
4.	Hyperinflation	An extreme form of inflation which is usually over 1000 $%$

क्रम संख्या	मुद्रास्फीति के प्रकार	विवरण
1.	चलती मुद्रास्फीति (Walking Inflation)	समय के साथ मुद्रास्फीति की दर 1 से 4 प्रतिशत तक बढ़ जाती है।
2.	रेंगती मुद्रास्फीति (Creeping Inflation)	मुद्रास्फीति एकल अंकों में 4 से 10 प्रतिशत के मध्य होती है।
3.	द्रुत मुद्रास्फीति (Galloping inflation)	मुद्रास्फीति की दर 20 प्रतिशत से 1000 प्रतिशत तक पहुँच जाती है।
4.	अति मुद्रास्फीति (Hyperinflation)	मुद्रास्फीति का एक चरम रूप जिसमें इसकी दर आमतौर पर 1000 प्रतिशत से अधिक हो जाती है।

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