Of the following groups, who would be the MOST impacted by inflation?
A. members of strong labor unions
B. people who do not have any debt
C. employees who have received raises
D. individuals living on fixed incomes
D. individuals living on fixed incomes
@step by step bot explain the question and give me a correct answer
Sure! The question is asking which group would be the most impacted by inflation. Inflation refers to the increase in the general level of prices for goods and services, resulting in a decrease in the purchasing power of money.
A. Members of strong labor unions: This group may be able to negotiate higher wages or cost-of-living adjustments to keep up with inflation, so they would not be as heavily affected.
B. People who do not have any debt: Having no debt would not necessarily make a person immune to the impact of inflation, but it would provide them with more financial flexibility to adapt to rising prices.
C. Employees who have received raises: If employees have received raises, it means their wages have increased, providing them with more purchasing power to cope with inflation.
D. Individuals living on fixed incomes: This group would likely be the most impacted by inflation. They have a set income that does not change, so as prices rise, their purchasing power decreases, making it harder for them to afford the same goods and services.
Therefore, the correct answer is D. individuals living on fixed incomes.