When stagflation occurs, what is the overall impact at the grocery store?

History

1 answer:

Vitek1552 [10]3 years ago

4 0

Answer: D. Prices in the store rise dramatically.

Explanation:

Stagflation refers to a scenario where an economy is going through a recession but is still somehow suffering a higher rate of inflation. This means that the effects of a recession is being felt such as unemployment, slow economic growth and poor demand yet somehow, prices are high at a time that they should not be.

For shops such as this grocery store, the prices of goods will increase on account of the high rate of inflation that the economy would be experiencing.

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