객관식
According to Adam Smith, which two principles are essential to the survival of an economy?
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0. Basic Principles of Economics
Introduction to Economics
객관식
In times of rising prices, which of the following best describes the economic phenomenon occurring?
A
Stagflation
B
Recession
C
Deflation
D
Inflation
검증된 단계별 안내1
Understand the key terms: Inflation refers to a general increase in prices across the economy, reducing the purchasing power of money.
Identify the economic phenomenon described: 'Rising prices' directly point to inflation, as it means the average price level is going up.
Compare with other options: Stagflation involves rising prices plus stagnant economic growth; recession is a period of economic decline; deflation is a decrease in the general price level.
Since the problem only mentions rising prices without additional context like economic stagnation or decline, the best description is inflation.
Therefore, the correct economic phenomenon occurring during rising prices is inflation.
