CIPS Exam A6 Topic 5 Question 69 Discussion

Actual exam question for CIPS's A6 exam

Question #: 69
Topic #: 5

[All A6 Questions]

Which of the following best describes the term 'inflation'?

AToo little money chasing too many goods

BToo much money chasing too few goods

CToo little money chasing too few goods

DToo much money chasing too many goods.

Show Suggested Answer

Suggested Answer: A

by Carolann at Jan 14, 2025, 11:45 AM

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Jospeh

1 days ago

I agree with Alita, because when there's too much money in the economy, prices tend to rise.

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Bette

4 days ago

Hmm, I was going to say D) but B) makes more sense. When there's too much money out there, it leads to higher prices. Basic supply and demand, really.

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Jacquline

12 days ago

B) Too much money chasing too few goods - That's the classic definition of inflation, isn't it? Classic Econ 101 stuff.

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Alita

13 days ago

I think the answer is B) Too much money chasing too few goods.

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