If consumers increase their purchase of goods and services then a likely outcome for our economy is

Question

Fisher Payne

Business

4 August, 22:56

If consumers increase their purchase of goods and services then a likely outcome for our economy is

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Answers (1)

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Magdalena Hess · Answer 1

The correct answer is inflation. The more consumers spend on products and services, the higher the prices for these products and services will rise, leading to inflation. This will especially occur if the customer demand becomes greater than the supply, because then the goods and services will be even more difficult to attain, thus making them more valuable.