Question

When the rate of inflation is between 10%-20% per annum, then it is ______ stage of inflation.

Options

• Running

• Hyper

• Creeping

• Slow

Answer 1

When the rate of inflation is between 10%-20% per annum, then it is running stage of inflation.

Explanation:

Running inflation refers to a situation where the rate of inflation is between 10%-20% per annum. In this stage, prices rise rapidly, but not as excessively as in hyperinflation. It indicates significant inflationary pressure in the economy, leading to a fast rise in the cost of living and reduced purchasing power.