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So commerce students, what are you waiting for?
Post the guess papers for acc, eco and b.s..
Post the guess papers for acc, eco and b.s..
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ACCOUNTS, ECONOMICS & B.S : POST YOUR DOUBTS HERE!!
- Thread starter danish2596
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Haven't revised this from a long time but I can remember some key points.
Deflation is the rapid decrease in the prices of goods and services. The major cause for a deflation is the fall in aggregate demand for products and therefore such method of reduction in prices is not a good news. Aggregate demand decreases usually because people have too little to spend due to unemployment or higher interest rates. So deflation means that producers will not produce much products as they won't be able to sell them so they will cut costs by making workers redundant. Deflation also indicates recession or slump as firms majorly aim to survive during the period of deflation by fulfilling the break-even level of products.
Confirm this from somewhere and point out mistakes (If any).
Thanks !
