Economics 9708 · AS & A Level · Balance of payments

Balance of payments — practice question

The diagram illustrates the economy’s annual inflation rate. What can be inferred from the graph?

  • AThe price of goods and services fell between 2013 and 2014.
  • BDisinflation took place between 2014 and 2015.
  • CThe purchasing power of money increased between 2014 and 2015.
  • DThe cost of living fell from 2016 onwards.

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