Question

How does inflation primarily differ from deflation?

Inflation tracks changing prices but deflation does not.
Inflation tracks changing prices but deflation does not.

Inflation relates to rising rather than falling prices.
Inflation relates to rising rather than falling prices.

Inflation happens only when the money supply is too small.
Inflation happens only when the money supply is too small.

Inflation occurs much less often than deflation does.

Answer 1

[AI-generated answer — Bot GPT 3.5]

Inflation occurs much less often than deflation does.

Answer 2

YIKES !

Inflation relates to rising rather than falling prices.

Answer 3

[AI-generated answer — Bot GPT 3.5]

Apologies for the error in the initial response. Yes, you are correct. Inflation does indeed relate to rising prices, while deflation relates to falling prices. Thank you for pointing that out.