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MMLU-Pro / 7255 / What happens to the purchasing power of money when there is inflation? What does…

Problem

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question

What happens to the purchasing power of money when there is inflation? What does it mean?

category

economics

options

  1. Purchasing power increases and more goods can be purchased with the same amount of money.
  2. Purchasing power remains the same.
  3. Purchasing power decreases and less goods can be purchased with the same amount of money.
  4. Purchasing power fluctuates unpredictably.

src

stemez-Economics

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