CIPS Exam A6 Topic 1 Question 48 Discussion

Actual exam question for CIPS's A6 exam

Question #: 48
Topic #: 1

[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 Lezlie at Apr 10, 2024, 08:48 PM

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Anabel

6 months ago

I've heard that inflation can occur when there is too much money in circulation, causing prices to rise

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Leatha

6 months ago

I'm not sure, but I think it might be C)

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Jacklyn

7 months ago

I disagree, I believe the answer is D)

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Anabel

7 months ago

I think the answer is B)

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Thad

7 months ago

I am not so sure, I think it might be A) Too little money chasing too many goods. It seems to me like prices go up when there isn't enough money circulating.

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Lavera

7 months ago

I agree with Paulina, it makes sense that inflation occurs when there is excess money in the economy.

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Paulina

7 months ago

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

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Inflation, schminflation. This question is like a riddle wrapped in a mystery, wrapped in a layer of economic jargon. But I'm gonna have to go with option B. Too much money chasing too few goods - it's the kind of thing that keeps central bankers up at night.

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Georgiana

8 months ago

Inflation, huh? It's like a never-ending game of economic Tetris, trying to fit all the pieces together. But I think option B is the way to go here. Too much money chasing too few goods - it's a classic case of supply and demand gone wild.

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Terrilyn

8 months ago

You know, inflation is like a puzzle, and this question is just one piece of it. But I'm confident that option B is the right answer. Too much money chasing too few goods - that's the classic definition, and it's the one that makes the most sense to me.

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Ciara

8 months ago

Ooh, this one's a toughie. Inflation is like a slippery slope, and you gotta be careful not to slide down the wrong path. I'm gonna go with option B as well. It just makes the most sense to me - too much money, not enough goods. Simple as that.

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Glenna

8 months ago

This question is making my brain hurt. Inflation is like a riddle wrapped in an enigma, wrapped in a layer of economic jargon. But I think option B hits the nail on the head. Too much money chasing too few goods - that's the classic definition, right?

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Mitzie

6 months ago

I agree. That's what inflation is all about.

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Mel

6 months ago

I think option B is correct. Too much money chasing too few goods.

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Sylvia

8 months ago

Ah, the age-old question of inflation - it's like a game of economic Tetris, trying to figure out the right balance of money and goods. I'm leaning towards option B, personally. Too much money chasing too few goods seems like the most accurate description of inflation to me.

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CIPS Exam A6 Topic 1 Question 48 Discussion

Contribute your Thoughts:

Anabel

Leatha

Jacklyn

Anabel

Thad

Lavera

Paulina

Sharika

Georgiana

Terrilyn

Ciara

Glenna

Mitzie

Mel

Sylvia