What is the primary difference between anticipated and unanticipated inflation?

• A. Anticipated inflation occurs only in developed countries, while unanticipated inflation occurs in developing countries.
• B. Anticipated inflation affects only goods, while unanticipated inflation affects services.
• C. Anticipated inflation is expected and planned for, while unanticipated inflation is unexpected.
• D. Anticipated inflation is always higher than unanticipated inflation.

Answer: (C)